notare il quadretto sull'asta dei tbill andata a rendimento negativo
11:42 am - New Issues :
FPL Group will sell $250M of 7-yr notes.
Goldman Sachs sold $775M of 2-yr floaters.
DuPont will sell 5-yr notes.
El Paso will sell $500M of notes due 2013.
ANZ will sell debt in 2 parts.
Westpac will sell 3-yr notes.
Suntrust will sell debt in 2 parts.
(Bloomberg)
11:25 am - Sputtering: The market has stalled out with little spreads still dominating play. Trade remains dismally light and will likely remain that way for the near term. The move by Canada to cut a larger than expected 75 basis points to the lowest level since 1958 with further cuts still possible down the pike while domestically, futures trade has since pushed back to a 90% chance the FOMC take the bigger 75bps bite out of rates. The curve saw a push steeply steeper with the
2-10-yr yield spread back to182.1.
10:59 am - Back on D : The continuous 10-yr futures contract is riding support along its 10-day ema near 122-07. Momentum is rolling over and the market is bracing for a bigger retracement. Further support sits near 120-21, 120-12 and 119-18. Trade will need to get above 124-22 to negate the near-term bearish sentiment.
10:45 am - Shorty Did It: The
3-mo bill has done it, its been pushed through to tag a negative yield -0.0507%, following yesterday's impressive $27B auction that saw 0.05% with a large indirect bidder take. The market continues to plod along in light trade clinging unch with nothing more on its plate to play with today, so it'll probably watch stocks
10:09 am - Home Plate: The -0.7% dip on the
pending home sales was given added bounce with the Sept saw an upward revision on the Sept report to -4.3% from -4.6%. Bonds have been pushed lower following the report, which is considered predictive with the number accounting for homes under contract which will close in the next few months, which combined with govt measures to encourage first time buyers with falling prices and rates bodes well for home sales down the road.
09:59 am - Cash to System : Fed adds $20B via 28-day repos.
09:57 am - Waiting on Data: The market is looking for a pretty poor
pending home sales report with consensus for a drop of -3.0% for Oct and anything that hits near will be built in, offering little response. An inline number may even be interpreted as an economic positive in the face of falling mortgage rates and Fed actions to pressure rates, and the market is still most vulnerable to the downside. Trade will rely more on technical related plays, with the 10-yr knocking around either side of the 2.7% yield point with the 5-yr leading things.
09:46 am - Cash from System : Fed drains $25B via overnight reverse repos.
09:41 am - Buck Back to Bid : The dollar knocked the euro back down off a ledge above 1.29 as the common currency just can't gain traction on its brief up swings. German investor data upsize-surprised but that seems almost laughable and did nothing for the euro. Meanwhile, industrial production in the UK fell at its fastest rate in 6 years (FT) reflecting more or less the generally ugly sentiment in global economies. The
Bank of Canada cut rates by 75 basis points, more than expected as central banks around the globe play catch up to the Fed in their quest for Zero. The failure of the euro at 1.2950 suggests the dollar positive trend has not yet reversed (or ever corrected, materially) bust mostly looks to be buying time. The
euro has support neat 1.2790 and 1.27 while trade will need to get above 1.2950 to alter consolidative ranges. Against the yen, the dollar has support near 92.20 and 91.50 with resistance near 93. Above 94 will tip the scales back in favor of risk. The pound was slammed at 1.5050 and has beaten a hasty retreat with stops below 1.47 having just been removed. Key support sits at 1.4650 and 1.4450, below which opens the flood gates once again. Spot gold is down at 767.67 (-5.03) while crude is off at 43.52 (-0.19).
09:18 am - Bounce Back?: Bonds have made a play for the upside, with technical factors kicking in after failure to fail at key levels encouraged trade. Orfanos Research and Trading's Steve Orfanos notes on the 30-yr futures, even in garbage volume
they may go back after the 135 handle with the 5-and-10-yr futures "satisfying their outside day targets, the lack of follow through does not enhance a call for a sustained down move. Because of this and the fact the long end lacks bearish criteria, the technical outlook remains bullish and continues to suggest another test," of 135.
08:52 am - Sneaking Back: The pre-large auction selling and pre-data buying has been scuffling in a really low volume situation with trade barely showing up. The uncertainty of further action by officials in the face of deteriorating economic data has left many clinging to the sidelines, or just popping in and out in quickie scalps. The talk of a further, largest, 100 basis point cut out of the of next week's extended FOMC meeting has simmered down some, unless talking to options players, who have in fact doubled those odds since yesterday, to near 20%.
08:20 am - Perking Up into Open : The market is trying to bounce off last week's price lows, hoping the dip buyers (or the Fed) fuel another surge. Headlines are scattered between the good and the bad with the auto bailout inching closer to a deal but the
credit unions poking around for some cash (WSJ). The $
44B of supply due continues to weigh with 3s ($28B) & 10s ($16B) hitting tomorrow and Thurs, but mostly, markets are moving into a guarded risk-on swing and that looks to be the biggest drag on treasuries despite a potential
75 basis point cut in rates at next week's FOMC. The
2-10-yr yield spread is chopping sideways at 178.8. Bond prices in the EuroZone were mostly lower as German investor confidence surprised higher while in Japan, bonds were knocked down with help from tepid auction demand. Treasuries get some housing data which are likely to provide only passing interest. The market is fading rallies while stocks hold higher, leaving the downside vulnerable to a deeper correction. Liquidity is on the dry side so a retracment of Nov's gains could be pretty steep. The dollar is getting a modest bounce as the euro failed to gain traction above 1.29 while the yen is trapped between 92 and 93. Spot gold is taking a dip at 768.93 (-3.77) while crude is bubbling higher at 43.87 (+0.16).
Pending home sales are at 10.
si stanno scatenando solo sul bund ? 
avranno tutto il consenso dei pecoroni, e soprattutto di tutti i governi del mondo che prenderanno la palla al balzo per approvare leggi fatte apposta.
La Bundesbank non voleva sputtanare la reputazione del marco come moneta non inflazionistica, con il sostegno illimitato alle altre monete. L'uscita dallo SME di sterlina e lira nel 1992, fu scritta nel 1978.
