It’s all about bonds today with a pair of auctions

Light schedule today otherwise

The economic calendar in North America today is barren but the Treasury auction calendar is full. The US is selling both 3-year and 10-year notes in a rare double-header.

The longer-end sale at 1300 GMT is where the focus will be after last week’s big bond rally. Treasuries are holding steady at the moment with 10s at 1.3427%, down 1.3 bps on the day.

The reason for the double-header sale followed by 30s tomorrow is the desire to have settlement on the 15th.

One of the theories behind the latest bond rally is that supply constraints because of a lighter auction calendar, debt ceiling and $120B in Fed bond buys a month. I’m skeptical but today’s sale should help to provide some answers.

Invest in yourself. See our forex education hub.

Articles You May Like

USDCAD trades back below 100 hour MA. Can the selller keep the momentum going
Fintech firm Klarna halves net loss in first quarter as it races toward profitability
Live ( FOMC NEWS ) XAUUSD GOLD 5M Chart Scalping Forex Trading Strategy
Gold Rate Today: May returns turn negative as gold prices fall. Check prices in Delhi, Ahmedabad & other Indian cities

Leave a Reply

Your email address will not be published. Required fields are marked *