T-Notes Lose Shine, Hawkish Fedspeak Takes Focus

T-Notes wiped out earlier gains in NY trade Monday as U.S. job openings hit a fresh record and surged faster than expected in June, while hawkish comments from Fed's Barkin, Bostic and Rosengren did the rounds.

• Bostic noted that he was "in favour of going relatively fast" and adopting a "balanced approach" by tapering MBP and Tsy purchases at equal rates. The voting FOMC member noted that the Fed could start reducing asset purchases in September, with interest rate increases set to begin "very late" in 2022. Barkin lauded progress in the economy towards policy targets, while Rosengren told AP that the Fed should announce in September that tapering would begin "this fall".
• The number of job openings eclipsed 10mn in June for the first time on record, according to the Labour Dept's JOLTS data. The report came on the back of upbeat NFP report released last Friday.
• T-Notes have been rangebound so far, last trade -0-01+ at 133-23+. Eurodollars last seen unch. to +0.5 tick through the reds. Cash Tsys will reopen shortly, with Tokyo now back from holidays.
• Fed's Mester will discuss inflation risks today, but the main focus in the U.S. falls on Wednesday's CPI data.