U.S. Treasuries remain flat ahead of 10-year auction, Trump’s speech closely eyed

The U.S. Treasuries remained flat Wednesday as investors remained keen to observe the 10-year note auction, besides, the upcoming speech by the United States President-elect Donald Trump scheduled to be held later in the day. Today’s news conference would mark his first public appearance after winning the 2016 Presidential elections on November 8.

The yield on the benchmark 10-year Treasury note remained flat at 2.38 percent, the super-long 30-year bond yield also traded steady at 2.96 percent while the yield on short-term 2-year note fell 1/2 basis point to 1.19 percent by 12:00 GMT.

Markets now look ahead to a lighter flow of data in the week ahead, highlighted by producer prices, retail sales, business inventories and University of Michigan consumer sentiment releases on Friday.

Fed Funds futures discount a 24 percent chance of a Fed rate hike in March [according to CME calculations using late Friday data], which is up from 80 percent the day before Friday's US employment report but about the same as on 3-4 January, while still below pricing on 15 December.

Meanwhile, the S&P 500 Futures traded almost flat, 0.50 points higher at 2,264.25 by 12:10 GMT, while at 12:00GMT, the FxWirePro's Hourly Dollar Strength Index remained neutral at 21.93 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex