Free Trial

Treasuries traded higher midday.....>

US TSYS SUMMARY
US TSYS SUMMARY: Treasuries traded higher midday Tues after morning gain on
short-covering and fast money futures buying after weak US car sales. Tsys early
calmly digested US 0.1% June core PCE px index, 1.5% yr/yr, flat total PCE px
index, unchanged June personal inc, 0.1% nominal PCe, flat real PCE M/M, +2.8%
SAAR. 
- Tsys kept lower range until weak US car sales came out: Fiat-Chrysler US car
sales 18,721 July (vs 24,301 yr-ago); Ford US car sales 48,259 (vs 59,854
yr-ago), GM US car sales 45,060 (vs. 62,892 yr-ago). Tsys futures saw buying in
10Y futures and Classic Bond futures, which then pulled up cash Tsys. 
- Speculative buyers fueled Tsys rally, which dragged up EGBs and UK Gilts too.
Some cited talk of sell US stocks/vs buying bonds around month-end. 
- Tsy futures block sales: sale of 5,088 TYU 10 Futures at 8:32am ET, then 10am
ET sale of 5,000 TYU 10Y Futures at 125-30.5, then block of 3,000 USU Long Bond
at 153-17, sell thru 153-19 bid at 10:20am ET post time. 
- US swaps mixed after earlier narrowing, some rate paying. 
- Lg end Tsys aided by weak US$, crude oil drop: NYMEX -3.07%.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.