USTs – Bullish Outlook Persists

U.S. Treasuries (10y 3.15, +2.5 bps) slid on Wednesday while tech and consumer discretionary equities led a rally. Inflation expectations are offering little excitement or reason for a continued break higher by long-end yields. U.S. 10-year term premium (-35...

USTs – Bullish Across the Curve

U.S. Treasuries (10y 3.11, +2.7 bps) modestly declined on Tuesday with equities on the mend. The Federal Reserve has yet to blink over risk asset volatility, which should not come as a surprise. Worsening U.S. economic data changes are...

TIPS Breakevens – Some Buyers Emerging

 AQA Comments:   Breakeven spreads found a bid Friday despite renewed softness in equities. That was a reversal from yesterday’s weakness while equities and energy markets rebounded. Inflation expectations continue to wither along with Treasury term premiums. Inflation data next...

USTs – Risk-Off Flows Expected to Persist

U.S. Treasuries (10y 3.08, -4.1 bps) maintained gains even while equities gyrated in the red throughout Friday. Investors’ dumping of duration between six and 10 years (ETFs nearing $2B) reached an extreme on a 65-trading day basis, suggesting lower...

USTs – Maintaining Bullish Outlook

U.S. Treasuries (10y 3.14, +3.4 bps) opened the U.S. session on Thursday already weaker in response to rebounding European equities. Traditional risk-on/off flows are back in vogue with tech leading equities to the upside and the belly leading U.S....

USTs – Bullish Outlook Persists

U.S. Treasuries (10y 3.17, -3.0 bps) pared gains on Tuesday after equities recouped losses. A dwindling number of economies are producing above-average economic data changes (41%), pressuring emerging markets and commodities (WTI -4.5% and Copper -1.0%). Investors are rushing out...