Bonds - USD
USD Swaps: PPI up; SOFR swap switch implications
Higher PPI but weaker retail sales left USTs a touch softer and B/Es wider. 3mL popped up but FRA-OIS is stable. Banks look at SOFR swap trading.
USD New Issues: $36bn week, but lower pace emerging
IG saw a heady start last week with over $23bn priced in Monday, but the rest of the week fizzled, with $36bn in total. Surveys see a slowdown ahead.
USD Swaps: Sight risk-on move as SOFR stories swarm
A modest risk-on move has failed to seed USTs move from a very tight range as the market awaits the Fed. SOFR stories are swarming.
USD Swaps: Squeeze extends; CME Yield Futures
The short squeeze has extended today, despite supply and key CPI data this week. Elsewhere, CME is to launch Yield Futures for hedging auctions.
USD New Issues: Financials dominate
Just shy of $21bn in IG issuance priced last week with financials leaving the biggest footprints. Roughly $30-$35bn in total is expected this week.
Basis Swaps: A glutful of dollars, but has it peaked?
Cracks are appearing in the Corona money wall. Central bankers in Australia and the US repo market both point to a possible peak in basis's surge.
USD Swaps: Fix up; IHS Markit’s CRITR released
Spreads are in a touch while front FRA-OIS widened following a rise in the fix. In the news, IHS Markit launched a new credit sensitive rate, 'CRITR'.
USD New Issues: Chugging along
The month of May closed with $136.5bn, bit lower than forecasted. A slowdown is expected in June, with $110bn anticipated.
USD Swaps: Calm; Spreads in the taper talk era; Zoltan!
A late spurt of month-end buying Thursday, rendered this actual month-end session somewhat obsolete. As LIBOR falls, Zoltan speaks. SocGen eyes ASWs.
USD Swaps: USTs softer; Biden budget; Backdoor QE?
Treasuries are weaker as Biden prepares a high-spending budget. Banks spot some backdoor QE. A bullet Formosa is upcoming.