Reply To: Bond Traders Weekly Outlook: Treasuries Soar on Soft Data Ahead of CPI and Powell

#50664
TradersCom
Keymaster

Bond Wrap: U.S. Treasuries good start in 2023 with gains across the curve. General growth concerns the catalyst

Yields
2-yr: -5 bps to 4.37%
3-yr: -7 bps to 4.17%
5-yr: -6 bps to 3.94%
10-yr: -10 bps to 3.78%
30-yr: -10 bps to 3.87%

Number of sub-50.0 PMI readings (the dividing line between expansion and contraction).

December Manufacturing PMI reports out of Asia and Europe. Falling energy prices, a stronger dollar, and some improved inflation data out of Germany helped the back end of the curve outperform.

The U.S. Dollar Index was up 1.1% to 104.53.

Wednesday’s session will feature the December ISM Manufacturing Index, the JOLTS – Job Openings Report for November, and the release of the FOMC Minutes for the December 13-14 meeting, all of which will feed expectations about the future path of the Fed’s monetary policy.