BEs quickly sulk lower into the month-end close as a meager index extension, rallying nominals and a rudderless risk tone lent little support.
USTs are better bid into month-end amid an increasingly souring risk-tone. Powell defends Fed’s bazooka. JPM’s mREIT update.
Swappers eyed aggressive 30y SONIA-BOR offers and standout 30y ASW flow today. But what drove the eruption of SONIA-BOR flow?
As coronavirus infection indicators start to dip, so does vol. Traders describe the flows as the vol market descends from Mount Fear.
Extensions and risk off helped the euro curve bull-flatten out to 10y. Banks look at the likely impact of the proposed EU Recovery Fund.
USTs are in the middle of their narrow May range ahead of Trump's keenly awaited China plans. Barclays looks at alternatives to SOFR.
JPY rates market was weaker after domestic and US data. Swaps from the 10-year point were bid but there was earlier offers in 5-year.
Data from the US has prompted a mild selloff in AUD rates. The 5- to 10-year area saw good paying but 10-year EFP is more inverted.
The usual flow of Kangaroo Bonds has increased and been accompanied by rarer deals in the Japan’s Samurai and New Zealand’s Kauri Bond markets lately.
BEs ignored the shifting risk tone today, forging higher as the backdrop deteriorated. Attention now shift to month-end flows tomorrow.
The curve has thus far bucked ME buying prognostications and has continued steeper. Spreads and outright rates see minor bumps, but are mostly steady.
Berm vol sees some activity in 5y NC1 amid a recent slowdown of callables in that sector. ULC dips. BofA examines the steep VIX drop.
Gilts underperformed Bunds slightly in the 10y sector this afternoon, failing to end in the black even after the APF operation in the afternoon.
Both USTs and spreads are narrowly mixed while the UST curve has steepened more. IG supply hits the tape. DB sees increased pension duration demand.
German CPI data and the morning’s re-pricing by the market of May Eurozone HICP by 10bps have combined to give inflation a much-needed boost
After a quiet start to the week, both sides of the Atlantic are seeing strong issuance, with USD supply from non-domestic issuers booming.
Recent structured note activity in USD.
Bund asset swaps were a talking point in lunchtime trading as news of grants and loans from the EU’s ERF continue to keep spreads tight.
Treasuries are little-changed as Dow futures stay in the green and 7y supply looms.
Yesterday's fast pace of EUR bond issuance continued today with new offerings emerging from BASF, Credit Agricole, Axa and Bpi, among others.