Menu

Search

  |   Commentary

Menu

  |   Commentary

Search

U.S. Treasuries climb on worries over possible tax-reform plan; Fed Chair Yellen’s speech in focus

The U.S. Treasuries climbed Monday on worries over the country’s delayed tax reform plan until at least 2019. Also, investors are awaiting the Federal Reserve Chair Janet Yellen’s speech, scheduled to be held on November 14 by 10:00GMT.

Also, the producer price-led inflation index, due later through the same day will add further direction to the debt market.

The yield on the benchmark 10-year Treasury slumped 2-1/2 basis points to 2.37 percent, the super-long 30-year bond yields plunged 3 basis points to 2.85 percent and the yield on short-term 2-year note traded 1/2 basis point lower at 1.65 percent by 10:50GMT.

It will be a similarly busy week in the US, with Wednesday’s retail sales and inflation releases for October taking center stage. After a big increase in the previous month, retail sales are likely to have eased back a little. Meanwhile, the headline CPI rate looks set to have moderated from 2.2 percent y/y in September, but the core rate is likely to have remained unchanged. 

More inflation-related indicators will be released on other days – PPI data are due on Tuesday, while import and export prices indices will come out on Thursday alongside October industrial production. Among the survey data, we will receive the NFIB small business sentiment (Tuesday), the Empire State manufacturing business conditions (Wednesday) and the Philadelphia Fed Business outlook (Thursday) surveys. And there will be a number of Fed speakers in the coming week, including voting members Yellen, Evans, and Kaplan.

Meanwhile, the S&P 500 Futures traded 0.07 percent down at 2,577.75 by 10:55GMT, while at 10:00GMT, the FxWirePro's Hourly Dollar Strength Index remained slightly bearish at -93.71 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex

FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest

  • Market Data
Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.