Bonds Analysis & Comment

We’ve been here before. In the spring of 2023, the bond market rallied sharply, effectively forecasting a rate cut by the Federal Reserve.But the punt turned to tears as the Federal Reserve...

The Federal Reserve has paused its interest rate hikes and inflation data seems to be leveling off. We’ll see.All in all, bond yields (interest rates) are pulling back and investors are hopeful...

By Padhraic GarveyUS Treasury yields were tracking the probability for a March cut, but now tracking the regional bank performance. Eurozone inflation surprised to the upside, but markets keep their...

Reference Inflationary Yield Curve Steepening? from January 11.In my opinion, after the secondary extreme inversion of the 10-2 yield curve in July a new yield curve steepener was in the bag. That is...

By Benjamin SchroederUS 5-year auction was rough, but Thursday's core PCE should be tame – what then? Likely yields lower, but only temporarily. The ECB takes centre stage with Lagarde...

By Benjamin SchroederA large sense of anticipation ahead of data dominates thinking, but so too do technical issues like the ongoing unwind of the March rate cut in the US and the rebuild of the...

By Benjamin SchroederEUR curves bear flattened at the start of the week with the European Central Bank leaning against aggressive market pricing. The message remains consistent – much of the...

While it is far from the only important indicator for the markets, the 10-2 Year Treasury Yield Spread is very important because it takes what is probably the most important market for macro...

By Benjamin Schroeder10Y Bunds got pushed back to 2.2% but still struggled to move past that hurdle despite a heavy supply slate. The same goes for the 10Y UST at 4% ahead of tomorrow’s...

Just as interest rates are pulling back, one particular government rate appears to be nearing an important moment.The 10-Year Germany Bond yield. Above is a long-term “monthly” chart of...

Several risk-on indicators surged higher into year-end, such as small-cap stocks and junk bonds.And as we typically see, this coincided with a big year-end stock market rally. Today, we take a look at...

The US bond market has had a rough ride for much of the past two years, but the powerful rally over the last two months suggests the worst is over.Cherry-picking analytics from the recent crop of 2024...

The past few years have seen interest rates soar. But perhaps it’s a case of too far, too fast.Today we look at interest rates in the form of treasury bond yields. And more specifically, the...

By Benjamin SchroederWhat a week it's been. Central bank anticipation first. Then, evidence of a holiday party at the Fed. Followed by failed attempts from Frankfurt and London to poop that party. But...