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What to Watch: PPI, Fed Speak

US TSYS
Tsys firmer, near late overnight highs, 30YY sub-4% at 3.9937% as rates climb back over post-CPI levels from last Thu. Heavier volumes (TYZ2>475k), yield curves mixed (2s10s -.979 at -55.122) as year end step down pricing gains traction.
  • PPI data at the bottom of the hour
  • PPI Final Demand MoM (0.4%, 0.5%); YoY 8.5%, 8.3%)
  • PPI Ex Food and Energy MoM (0.3%, 0.4%); YoY (7.2%, 7.2%)
  • PPI Ex Food, Energy, Trade MoM (0.4%, 0.3%); YoY (5.6%, 5.5%), followed by
  • Empire Manufacturing (9.1, 5.3)
  • Fed speakers on tap: likely discussing difference between one-off lower inflation print vs. sustained turn in inflation:
    • Philly Fed Harker eco-outlook, text, Q&A at 0900ET
    • Fed Gov Cook virtual event on diversity w/ BOC, Q&A at 0900ET
    • Fed VC Barr testimony to Senate Bank Comm at 1000ET
  • No Tsy auctions today

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