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What to Watch: BOE Purchase Program Details, Fed Speak, 7Y Sale

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Tsy futures firmer, off initial highs as market mulls earlier BoE annc of temporary purchase program for Gilts and postponing sales in order to restore mkt functioning, still awaiting formal Market Notice from BOE. Tsy 2YY slipped to 4.1575% low, currently 4.2089% (-.0741), 2s10s curve bull steepening +7.030 at -27.373.

  • More prosaic US data and Fed speaker ahead:
    • Atlanta Fed Bostic moderated Q&A, no text at 0835ET
    • StL Fed Bullard, welcome remarks community bank event, no text, 1010ET
    • Fed Chair Powell, welcome remarks, 1015ET
    • Richmond Fed Barkin, CoC luncheon, no text, Q&A, 1130ET
    • Fed Gov Bowman bank research conf, text, no Q&A, 1130ET
    • Chicago Fed Evans, London School of Economics, no text, Q&A, 1400ET
  • Economic data at 0830ET:
    • Advance Goods Trade Balance (-$90.2B rev, -$88.9B)
    • Wholesale Inventories MoM (0.6%, 0.4%)
    • Retail Inventories MoM (1.1%, 1.0%), followed by
    • Pending Home Sales MoM (-1.0%, -1.5%); MoM (-22.5%, -24.5%), 1000ET
  • US Tsy auction:
    • Sep-28 1130 US Tsy $22B 2Y FRN Note (91282CFD8) and $30B 119D CMB
    • Sep-28 1300 US Tsy $36B 7Y Note auction (91282CFL0)

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