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Trump Calls End To Stimulus Talks

US TSY FUTURES CLOSE

Sharp reversal, Tsys gapped higher equities reverse gains (ESZ0 -48.0) after series of tweets from Trump saying stimulus talks are at an end until after the election on Nov 3. Heavy volume, appr 200k TYZ traded on initial move from 138-27.5 to 139-06

stops triggered on way up, selling on highs, TYZ appr 6/32 off top end with total TYZ volume >1.5M. Yld curves bull flatten, scale back large portion of Mon's steepening

  • 3M10Y -4.208, 64.558 (L: 62.649 / H: 69.461)
  • 2Y10Y -3.588, 59.519 (L: 58.061 / H: 64.533)
  • 2Y30Y -4.4, 139.527 (L: 137.652 / H: 146.358)
  • 5Y30Y -2.643, 122.647 (L: 121.433 / H: 127.625)
  • Current futures levels:
  • Dec 2Y steady at 110-13.625 (L: 110-13.3 / H: 110-14.125)
  • Dec 5Y up 1.25/32 at 125-25.5 (L: 125-22.25 / H: 125-27.25)
  • Dec 10Y up 4.5/32 at 139-2 (L: 138-23 / H: 139-06)
  • Dec 30Y up 14/32 at 174-21 (L: 173-12 / H: 175-03)
  • Dec Ultra 30Y up 29/32 at 217-31 (L: 215-08 / H: 218-30)

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