Trial now
USDCAD TECHS

Needle Still Points South

US TSYS

Yields Bounce as Equities Make New Monthly Highs

AUDUSD TECHS

Heading North

EURJPY TECHS

Bull Rally Accelerates

COLOMBIA

Economists Survey Raises 2021 CPI Forecast To 4.9%

Treasuries started weaker, giving...>

US TSYS SUMMARY
US TSYS SUMMARY: Treasuries started weaker, giving back some of the gains seen
last week on the back of a large North Korean-inspired risk-off trade. A lack of
North Korean news from the weekend opened up the downside to Treasuries and
upside to equities.
- At 9.20BST, news that China had imposed an import ban on North Korean coal,
iron, lead etc suggested increased hopes of a diplomatic solution and gave a
further push lower to US bond futures contracts.
- There has been no increase in the yield premium that October T-bills are
carrying because of the debt ceiling, if anything such bills have done better
than others. However, the bill curve remains inverted between Oct and early-Dec.
- The USD curve has moved around 2bp higher between 0 and 3Y but has steepened
from 3-10Y and flattened into the Bond section of the curve.
- The 3-4y (2021 maturities) remain the peak area of the curve from a roll/carry
perspective and has a slightly different trading pattern in recent days.
- There are no data releases although the weekly 3m and 6m bill auctions are
scheduled.