EmailBond Market Update
The market at 08:20 ET
| 10-Year: -15/32....%.... GNMAs: .... USD/JPY: 79.5.... EUR/USD: 1.258 |
Moving the Market
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Personal Income (8:30): Actual 0.2%, Briefing 0.0%, consensus 0.1%, prior 0.2% (no revision) Personal Spending (8:30): Actual 0.0%, Briefing 0.1%, consensus 0.1%, prior 0.1% (revised from 0.3%) PCE Prices - Core (8:30): Actual 0.1%, Briefing 0.2%, consensus 0.2%, prior 0.1% (no revision) Chicago PMI (9:45): Actual 52.9, Briefing 52.0, consensus 53.0, prior 52.7 (no revision) Michigan Sentiment - Final (9:55): Actual 73.2, Briefing 73.0, consensus 74.1, prior 74.1 |
Risk On
29-Jun-12 08:20 ET
10-Yr: -15/32..1.64%..
USD/JPY: 79.5..
EUR/USD: 1.258
Risk On: Treasuries sold off overnight and look to start the day weaker as European leaders acted to stem the debt crisis. The 10-year UST yield has eased almost 5 bps since yesterday's close and the curve is weaker across the board. The moves in Europe came as somewhat of a surprise as expectations for the meeting were fairly low. Details are thin, but the leaders appear to have agreed that Euro Rescue Funds will be available to purchase sovereign debt without the countries in need having to bear the burden of forced austerity measures. In addition, funds can also be lent to banks for re-capitalization. And while the risk trade appears to be back on, the reality is that the 10-year UST is still under 1.65% -- not exactly the type of a selloff that might accompany a true sense of relief by participants. The 2-10-yr spread stands a wider than it has been at 131.6. Data today includes Personal Income, Personal Spending, PCE Prices (all at 8:30), Chicago PMI (9:45), and Michigan Sentiment (9:55).
