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What to Watch: Weekly Claims, Inventories, Home Sales, Tsy Auctions

US TSYS
  • Cash Tsys holding weaker on modest overnight volumes: March'24 10Y (TYH4) over 187k. Near overnight lows, TYH4 is currently -6 at 113-04.5 vs. 113-03 low. Curves steeper in the short end: 3M10Y +2.621 at -159.127, 2Y10Y +0.781 at -44.352.
  • Initial technical support well below at 111-31+/111-20 (Low Dec 14 / 20-day EMA); resistance above at 113-12.5, a Fibonacci projection point (1.764 proj of the Oct 19 - Nov 3 - Nov 13 price swing).
  • Thursday Data Calendar: Weekly Claims, Advance Goods Trade Balance and Wholesale/Retail Inventories coming up at 0830ET. Pending Home Sales follows at 1000ET.
  • Final US Treasury supply for 2023: $80B 4W and 8W Bill auctions at 1130ET, $40B 7Y Note auction (91282CJQ5) at 1300ET.
  • No scheduled Fed speakers, but the December FOMC minutes will be released next week Wednesday at 1400ET.

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