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What to Watch: New Home Sales, Dallas Fed Mfg, Tsy Auctions

US TSYS
  • Treasury futures trading mildly higher in early NY trade, inside the overnight range on heavy volume (TYH4>1.6M already) tied to the quarterly futures roll with Jun'24 taking lead this Thursday.
  • Data limited to New Home Sales at 1000ET followed by Dallas Fed Mfg Activity at 1030ET.
  • Spate of Treasury supply ahead month end: $63B 2Y note and $70B 26W bill auctions at 1130ET, followed by $64B 5Y Note and $79B 13W bills auctions at 1300ET.
  • Heavy corporate issuance expected again after last week saw just over $73B price (Abbvie, Cisco and Astrazeneca making up $33B).
  • Scheduled Fed speak limited to Kansas City Fed President Schmid, economic/policy outlook, text, Q&A, livestreamed later this evening at 1940ET.
  • Punchbowl News notes a partial government shutdown will occur at midnight Friday if lawmakers don’t act on annual spending bills, with a full government shutdown possible on March 8. President Joe Biden’s State of the Union is March 7. Same date for Fed Chairman Powell's semi-annual policy update to the Senate banking committee.

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