FREELAND: CANADA WON'T ESCALATE OR BACK DOWN ON US TRADE FIGHT

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI BRIEF: China Nov M1 Decline Narrows, M2 Slows

EZ/UK T-Bill Calendar: 8/13/28/50-Week BTF Auction on Monday

EZ/UK Bond Supply Calendar: 4.125% Jul-29 Gilt Due on Tuesday

MNI: CANADA OCT WHOLESALE SALES +3.3%; EX-AUTOS +0.5%

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: Bear Steeper Ahead Of An Important Session

US TSYS
USGlobalBulletMarketsFixed Income BulletsRegionNorth America
  • Treasuries have pared some of yesterday’s firming amidst low volumes ahead of a notable session, only modestly outperforming EGBs.  
  • Bank earnings are in focus early on, with JPMorgan and Wells Fargo to report shortly. Focus is then firmly on inflation matters (PPI before U.Mich expectations) before some potentially hawkish Fedspeak that could draw headlines on any November skip talk.  
  • PPI will be important after yesterday's CPI beat saw large contributions from some CPI-specific categories. We currently track analyst unrounded core PCE estimates at around 0.23% M/M.
  • Cash yields are 2-3bp higher on the day, led by the long end.
  • 2s10s at 11.6bps (+0.6bp) hold yesterday’s CPI/jobless claims driven steepening but is within last month’s ytd highs of 24bps.
  • TYZ4 has seen session lows of 112-02 on soft cumulative volumes of 225k. It remains within yesterday’s wide range, with volatility around data sparking a low of 111-22 for fresh support after which lies 111-14 (50% retrace of the Apr-Sep bull cycle).
  • Data: PPI Sep (0830ET), U.Mich consumer survey Oct prelim (1000ET)
  • Fedspeak: Goolsbee opening remarks (0945ET), Logan panel discussion (1045ET), Bowman (1310ET, text + Q&A) - see separate STIR bullet. 
188 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.
  • Treasuries have pared some of yesterday’s firming amidst low volumes ahead of a notable session, only modestly outperforming EGBs.  
  • Bank earnings are in focus early on, with JPMorgan and Wells Fargo to report shortly. Focus is then firmly on inflation matters (PPI before U.Mich expectations) before some potentially hawkish Fedspeak that could draw headlines on any November skip talk.  
  • PPI will be important after yesterday's CPI beat saw large contributions from some CPI-specific categories. We currently track analyst unrounded core PCE estimates at around 0.23% M/M.
  • Cash yields are 2-3bp higher on the day, led by the long end.
  • 2s10s at 11.6bps (+0.6bp) hold yesterday’s CPI/jobless claims driven steepening but is within last month’s ytd highs of 24bps.
  • TYZ4 has seen session lows of 112-02 on soft cumulative volumes of 225k. It remains within yesterday’s wide range, with volatility around data sparking a low of 111-22 for fresh support after which lies 111-14 (50% retrace of the Apr-Sep bull cycle).
  • Data: PPI Sep (0830ET), U.Mich consumer survey Oct prelim (1000ET)
  • Fedspeak: Goolsbee opening remarks (0945ET), Logan panel discussion (1045ET), Bowman (1310ET, text + Q&A) - see separate STIR bullet.