MNI China Daily Summary: Wednesday, December 11

MNI BRIEF: Chinese Rail Passenger Numbers Break Record

MNI: PBOC Net Injects CNY37.3 Bln via OMO Wednesday

MNI: PBOC Sets Yuan Parity Lower At 7.1843 Weds; -1.22% Y/Y

MNI BRIEF: Brazil Not Even Close To Fiscal Dominance - David

CORRECTED-MNI BRIEF: Brazil Inflation Rises To 4.87% In Nov

MNI: US NOV CPI 0.3%, CORE 0.3%; CPI Y/Y 2.7%, CORE Y/Y 3.3%

MNI: US NOV SUPERCORE CPI (CORE SERVICES EX-HOUSING) 0.342%

MNI: US NOV CPI UNROUNDED M/M 0.313%, CORE 0.308%

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Tsy 2s10s Yield Curve Quietly Bounces off 40Y Lows

US TSY FUTURES
Bit of midmorning ebb-and-flow for Tsys, Bonds extending lows last couple minutes (30YY 3.8356% high) while short end remains off post-data lows. Most striking move is bounce off this morning's 40-year inverted low in 2s10s from -91.943 to -82.034 in the last half hour.
  • Tsys had sold off after this morning's higher than expected Jan Retail Sales (3.0% vs. +1.9% forecasted, ex-auto/gas at +2.6% vs. -0.4% in Dec the strongest print since March 2021) 2s10s extended inversion amid brief speculation over larger rate hikes over extended period from the Fed.
  • Pricing larger hikes is moderating, however, with short end outperforming, while longer period of hikes remains. Fed funds implied hike for Mar'23 steady at 26.8bp, May'23 cumulative steady 47.3bp to 5.052%, Jun'23 steady at 62.1bp to 5.201%, while terminal rate has slipped to 5.25% in Aug'23 from 5.29% this morning.
  • Heavy overall volumes for this time of session, TYH3 >1.16M, rate locks a factor weighing earlier, Amgen 8pt mega-deal size could eclipse the Tsy 20Y bond sale followed by some two-way flow going on - some unwinds post data, etc from props that missed the boat.
BulletMarketsFixed Income BulletsHomepage
BulletMarketsFixed Income BulletsHomepage

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.