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US Treasury market

US bond derivatives signal calm, but economic fundamentals could spur more sell-offs
Markets

US bond derivatives signal calm, but economic fundamentals could spur more sell-offs

  • "The selloff may have run its course," said Jabaz Mathai, head of US rates strategy at Citi, pointing to inflation breakevens backing down.
  • "I would not say the bear market in Treasuries is over at this point, but there is the prospect of a near-term pullback," said Mathai. "You should see some stability in the 10-year around these levels."
Published 02 Mar, 2021 09:19pm
US yields soften after vaulting to one-year highs; sentiment wary
Markets

US yields soften after vaulting to one-year highs; sentiment wary

  • The benchmark 10-year US Treasury note's yield was down 5.2 basis points at 1.4633%. On Thursday it touched 1.614%, the highest in a year, rocking world markets.
  • Part of Friday's decline could also reflect dealers convincing clients to buy bonds after poor demand for a 7-year note auction on Thursday.
Published 26 Feb, 2021 08:44pm
Inflation bets send yields up to new milestone
Business & Finance

Inflation bets send yields up to new milestone

  • The 10-year yield was up 6.9 basis points at 1.4578% and reached as high as 1.468%, the highest in a year.
  • "It's starting to become a momentum trade and the sell-off is becoming a global phenomenon," said Subadra Rajappa, head of US rates strategy at Societe Generale.
Published 25 Feb, 2021 08:58pm
Yields rise after weak auction, as fiscal stimulus seen near
Markets

Yields rise after weak auction, as fiscal stimulus seen near

  • The Treasury saw soft demand for $27 billion in 30-year bonds, its final sale of $126 billion in coupon-bearing supply this week.
  • Our base case view is for a $1 trillion package, but I think market expectations are gravitating towards something much larger.
Published 12 Feb, 2021 09:11pm
Yields hold at lower levels as reflation trade loses steam
Business & Finance

Yields hold at lower levels as reflation trade loses steam

  • Yields dropped on Wednesday after data showed that the core consumer price index, which excludes the volatile food and energy components.
  • Lederer added that he does expect yields to rise later this year as COVID-19 vaccines are rolled out and the economy returns to more normal conditions.
Published 11 Feb, 2021 09:11pm
Longer-term yields higher in volatile session after jobs report
Markets

Longer-term yields higher in volatile session after jobs report

  • The benchmark 10-year yield was up 1.4 basis points at 1.1532% in morning trading after it reached as high as 1.188%, its highest since March 20, 2020.
  • US employment growth rebounded less than expected in January and job losses the prior month were deeper than initially thought.
Published 05 Feb, 2021 08:47pm
Yield curve steepens on Washington spending plans, jobs data
Markets

Yield curve steepens on Washington spending plans, jobs data

  • The benchmark 10-year yield was up 1.5 basis points in morning trading at 1.1461% and at one point reached 1.16%, its highest since Jan. 12.
  • Both factors pointed to improving economic growth, which makes ultra-safe Treasuries less attractive to investors.
Published 04 Feb, 2021 09:23pm
After COVID shock, US Treasury market set for new scrutiny
World

After COVID shock, US Treasury market set for new scrutiny

  • A review of what went wrong and measures to boost the market's resilience could be among the first regulatory challenges for incoming Treasury Secretary Janet Yellen.
  • The deepest and most liquid market in the world, Treasury securities sit at the heart of the global financial system
Published 17 Dec, 2020 01:38am