Free Trial

With the Japanese market closed,....>

US TSYS SUMMARY
US TSYS SUMMARY: With the Japanese market closed, Treasury trading was mostly
limited to swaps and futures, with cash activity effectively shut. However, the
TY recovered some of the corporate deal related weakness that had beset a thin
US session on Monday.
- As European markets opened and UST cash trading resumed, the 10Y UST yield is
1.1bp lower at 2.885%, accompanied by a subtle flattening of the yield curve.
- Swap flows have mostly looked for higher rates with a highlight being a 7-30Y
steepener done in 112k DV01.
- Clearly, the market is looking forward to the Fed decision, accompanying
Summary of Economic Projections and press Conference. It is universally
acknowledged that dots in the dotplots will rise, with the majority of
Strategists believing that 4 rate hikes will be priced in this year and many
remarking that the OIS forwards are still a long way from pricing this in.

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.