Free Trial

Tsys trading steady to higher,......>

US TSYS SUMMARY
US TSYS SUMMARY: Tsys trading steady to higher, paring earlier gains seen during
European morning session as US traders get to their desks. Curve is flattening
with 2s/10s 1bp tighter at 49.65bps. 10-yr note yield last 1.1bp lower at
2.7643% having hit low of 2.7425% earlier.
- There were various reasons given for the rally in European bonds but Gilts
leading and a host of important technical levels have been broken in the Bund
contract. Participants also note the impending Japanese FY-end and large EGB
cpns/redemptions in April.
- Jun-18 Eurodollar perked up to 97.73, a 5 tick rally since Monday, but was
sold on another rise in 3-mth US Libor fixing and trades at 97.71. A source
notes a decline in T-bill issuance in April should help compress OIS-libor soon.
- 2-yr swap spread is 0.5bp wider while the rest are marginally tighter.
- Final auction of the week will be the 7Y note for $29bln, while there is also
$15bln of 1y-10m FRN as well. 
- The data calendar is not market moving today and is headlined by another
revision to Q4 GDP and the only Fed speak is Pres Bostic at 1130ET.

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.