Free Trial

Tsys Futures Steady Post Morning Sell-Off, Fed Funds Pricing Cools

US TSYS
  • Tsys futures sold off during the morning session, but has spent the remainder of the session trading sideways in tight ranges. TUU4 is currently - 04 ⅞ at 103-13, while TYU4 is - 03 at 113-21+.
  • Volumes are well down on Monday's levels, although we are still about double the average for this time of the day.
  • Cash treasury curve has bear-flattened, there is slightly better selling occurring through the belly, yields are 3-6bps higher. The 10yr yield is +4.7bps at 3.833% vs 3.665% lows, we still trade 10bps lower than pre NFP and 22bps lower than Thursday jobs report.
  • Fed funds futures were at one point overnight pricing in 60bps of cuts at the September meeting, they have since cooled and are now pricing 47.5bps for the next meeting.

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.