CORRECTED-MNI: Fed's Hammack-Near Or At Time To Slow Rate Cuts

MNI BRIEF: Fed's Goolsbee Sees Rates Fair Bit Lower In A Year

CANADA JOBLESS RATE +6.8% VS FORECAST +6.6%, PRIOR +6.5%

MNI China Daily Summary: Friday, December 6

MNI: PBOC Net Drains CNY288.1 Bln via OMO Friday

MNI: PBOC Sets Yuan Parity Lower At 7.1848 Fri; -1.64% Y/Y

MNI: UNIV OF MICHIGAN CONSUMER SENTIMENT PRELIMINARY DEC INDEX 74.0

CANADA NOV IVEY PURCHASING MANAGERS INDEX 52.3 SA

EZ/UK Bond Supply Calendar: Austria, UK Auction on Tuesday

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: Off Data Driven Lows, Still Not Far From Late July Lows

US TSYS
USGlobalBulletMarketsFixed Income BulletsRegionNorth America
  • Treasuries looked to finish higher Thursday, taking cues from EGB flash PMI data overnight. German composite PMI remained in contractionary territory for the fourth consecutive month while French flash October PMIs were weaker than expected for the second consecutive month.
  • Early Treasury support evaporated after US Data: Initial jobless claims were notably lower than expected for a second week running, at 227k (sa, cons 242k) in the week to Oct 19 after a marginally upward revised 242k (initial 241k) held onto much of last week’s surprise lower. New home sales were stronger than expected as they increased to an annualized 738k in September (cons 720k) from a downward revised 709k (initial 716k).
  • Meanwhile, October flash PMIs fared better than expected across the main sectors as both manufacturing and services indexes increased. The S&P Global press release notes the survey signaling “a further solid rise in business activity to mark a robust start to the fourth quarter”.
  • The morning reversal (TYZ4 fell to a session low of 111-03) was short lived, however, the 10Y contract climbing to 111-13.5 by late morning before settling around 111-08.5 (+7.5). Curves bull flattened: 2s10s -3.374 at 12.968, 5s30s -1.861 at 44.115. There were no obvious headline or flow related drivers for the bounce as Treasuries hold near late July levels.
  • Look ahead: Friday focus on Durables/Capital Goods and University of Michigan's sentiment/inflation outlook. Next week Friday see's the latest round of employment data for October.
238 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 looked to finish higher Thursday, taking cues from EGB flash PMI data overnight. German composite PMI remained in contractionary territory for the fourth consecutive month while French flash October PMIs were weaker than expected for the second consecutive month.
  • Early Treasury support evaporated after US Data: Initial jobless claims were notably lower than expected for a second week running, at 227k (sa, cons 242k) in the week to Oct 19 after a marginally upward revised 242k (initial 241k) held onto much of last week’s surprise lower. New home sales were stronger than expected as they increased to an annualized 738k in September (cons 720k) from a downward revised 709k (initial 716k).
  • Meanwhile, October flash PMIs fared better than expected across the main sectors as both manufacturing and services indexes increased. The S&P Global press release notes the survey signaling “a further solid rise in business activity to mark a robust start to the fourth quarter”.
  • The morning reversal (TYZ4 fell to a session low of 111-03) was short lived, however, the 10Y contract climbing to 111-13.5 by late morning before settling around 111-08.5 (+7.5). Curves bull flattened: 2s10s -3.374 at 12.968, 5s30s -1.861 at 44.115. There were no obvious headline or flow related drivers for the bounce as Treasuries hold near late July levels.
  • Look ahead: Friday focus on Durables/Capital Goods and University of Michigan's sentiment/inflation outlook. Next week Friday see's the latest round of employment data for October.