Free Trial

Trump Throws A Spanner In The Works

BOND SUMMARY

Activity has cooled after the Trump-inspired push higher, with T-Notes a little shy of best levels, last +0-01+ at 138-01, operating within a 0-04 range, while the light twist flattening of the cash curve has held, with 30s ~1.0bp richer on the day. Eurodollar futures sit unch. to +0.5 through the reds, with a 20K block seller of EDH1 providing the highlight on the flow side thus far.

  • The broader offshore market dynamic and lack of impending long dated JGB issuance made for some outperformance for the longer end of the Japanese curve, although futures still held to a narrow range, last -1, with the belly of the cash curve experiencing some underperformance. There has been a lack of local news flow to drive matters.
  • The Aussie curve pushed flatter in early Sydney trade, but the space has edged away from richest levels, with YM +1.0 and XM +3.0, as focus fell on the U.S. fiscal backdrop, not local data releases. 3-Month BBSW fixed at an all-time low of 0.010% today (we gave some colour on the matter yesterday). Bills sit -1 to +1 through the reds, running flatter vs. settlement.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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.