-
Policy
Policy
Exclusive interviews with leading policymakers that convey the true policy message that impacts markets.
LATEST FROM POLICY: -
G10 Markets
G10 Markets
Real-time insight on key fixed income and fx markets.
Launch MNI Podcasts -
Emerging Markets
Emerging Markets
Real-time insight of emerging markets in CEMEA, Asia and LatAm region
-
Commodities
Commodities
Real-time insight of oil & gas markets
-
Data
-
MNI Research
Actionable insight on monetary policy, balance sheet and inflation with focus on global issuance. Analysis on key political risk impacting the global markets.
-
About Us
To read the full story
Sign up now for free trial access to this content.
Please enter your details below.
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.
-
Policy
Policy
Exclusive interviews with leading policymakers that convey the true policy message that impacts markets.
LATEST FROM POLICY: -
G10 Markets
G10 Markets
Real-time insight on key fixed income and fx markets.
Launch MNI Podcasts -
Emerging Markets
Emerging Markets
Real-time insight of emerging markets in CEMEA, Asia and LatAm region
-
Commodities
Commodities
Real-time insight of oil & gas markets
-
Data
-
MNI Research
Actionable insight on monetary policy, balance sheet and inflation with focus on global issuance. Analysis on key political risk impacting the global markets.
-
About Us
Real-time Actionable Insight
Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.
Free AccessYellen Steals The Show
T-Notes stable at the re-open, with the contract last -0-00+ at 132-13, in line with late NY levels. As a reminder, Tuesday saw the cash curve bull flatten, with 30s richening by a little over 2.0bp come the bell.
- U.S. Tsy Sec. (and ex-FOMC Chair) Yellen stole the headlines on Tuesday. Comments late in the day underlined the idea that she does not foresee an "inflation problem," but noted that if one were to appear then the Fed would address the matter. She also flagged transitory price pressures over the next "6 months or so." Yellen was keen to stress her strong belief in Fed independence and highlighted that she is not predicting/recommending a rate hike from the Fed. She also reiterated the idea that she expects full employment in '22. This came in the wake of her comments made earlier in NY hours re: the potential need for the Fed to hike rates if the economy overheats. We would suggest that those initial comments in isolation didn't provide anything new, having featured in Yellen's commentary in recent months e.g. the Fed has the tools to deal with inflation if it becomes an issue.
- The initial round of comments from Yellen saw the space back from richest levels of the day, after some early NY risk-off price action, which many struggled to frame with a narrative (some pointed to Chinese aircraft incursions into China's ADIZ, but this can't be considered a surprise given the recent run of such events). The early NY afternoon saw over 100K TYM1 change hands in a ~1-minute window, which provided a brief burst of support, although the move once again lacked an overt catalyst. On the flow side, an 8.4K block buy of TYM1 helped the broader bid during the NY morning.
- There is nothing in the way of headline global tier 1 risk events slated for Asia-Pac hours, with the final day of the Japanese & Chinese holidays set limit liquidity in the timezone (with the former keeping cash Tsys closed until London hours).
To read the full story
Sign up now for free trial access to this content.
Please enter your details below.
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.