MNI BRIEF: PBOC Warns Market On Bond Rally - Press

MNI: PBOC Net Injects CNY309 Bln via OMO Wednesday

MNI: PBOC Sets Yuan Parity Lower At 7.1880 Weds; -2.54% Y/Y

MNI: JAPAN NOV EXPORTS +3.8% Y/Y; SEPT +3.1%

MNI CNB WATCH: Policy Hold Seen, Cuts To Start In Q1 2025

MNI NBH WATCH: NBH Holds Rates, Tweaks Inflation Outlook

JAPAN DATA: Japan Nov Exports +3.8% Y/Y; Imports -3.8% Y/Y

EZ/UK T-Bill Calendar: 1/3/6-Month UKTB Auction on Friday

EZ/UK Bond Supply Calendar: Austria, UK Auction on Jan 7

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

US TSYS: Tsys Futures Little Changed, Volumes Low, Retail Sales later

US TSYS
USBulletMarketsFixed Income BulletsNorth America
  • Tsys futures doing very little today, ranges narrow while volumes are well below recent averages. Looking at flows most of the action has been in SOFR ahead of the FOMC later this week. TU is +00⅛ at 102-27⅞, while TY is +00+ at 109-28 where it has been at throughout the session.
  • Overnight, in Tsys options, demand emerged for upside protection, including trades targeting a 10-year yield drop to around 4% by the end of January. While in fed funds futures, larger flows were skewed toward buys ahead of Wednesday’s Fed interest-rate decision.
  • Cash tsys curves have bull-steepened, yields are flat to 1bps lower. The 2yr is -0.8bps at 4.241%, while the 10yr is -0.2bps. The 2s10s is +1bps at 15.20, still off the overnight highs of 16.23.
  • Fed funds futures have held steady to start the week, with the market pricing in a 94% chance of a 25bps cut this week. There has been little change further out the curves either with 72.5bps of cumulative cuts priced in through to December 2025.
  • Later today we have Retail Sales & Industrial Production.
178 words

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.
  • Tsys futures doing very little today, ranges narrow while volumes are well below recent averages. Looking at flows most of the action has been in SOFR ahead of the FOMC later this week. TU is +00⅛ at 102-27⅞, while TY is +00+ at 109-28 where it has been at throughout the session.
  • Overnight, in Tsys options, demand emerged for upside protection, including trades targeting a 10-year yield drop to around 4% by the end of January. While in fed funds futures, larger flows were skewed toward buys ahead of Wednesday’s Fed interest-rate decision.
  • Cash tsys curves have bull-steepened, yields are flat to 1bps lower. The 2yr is -0.8bps at 4.241%, while the 10yr is -0.2bps. The 2s10s is +1bps at 15.20, still off the overnight highs of 16.23.
  • Fed funds futures have held steady to start the week, with the market pricing in a 94% chance of a 25bps cut this week. There has been little change further out the curves either with 72.5bps of cumulative cuts priced in through to December 2025.
  • Later today we have Retail Sales & Industrial Production.