Ultra T-Bond Futures Market News and Commentary
Sep 10-year T-notes (ZNU20) on Monday closed down -2.5 ticks, and the 10-year T-note yield rose +0.8 bp to 0.572%.
Sep 10-year T-note prices on Monday erased an early rally as they drifted lower throughout the day and finished with modest losses. Strength in stocks weighed on T-note prices Monday, as did stronger-than-expected U.S. economic data. T-notes had opened higher Monday on an escalation of U.S./China tensions along with carry-over support from a rally in German bunds.
U.S. stock indexes rallied Monday and curbed safe-haven demand for T-notes. Stocks gained after President Trump took executive actions to extend economic aid as Congress remains at an impasse on passing a new virus relief package. President Trump on Saturday signed four executive orders, including extending unemployment benefits, a request for eviction protection, student loan relief, and a temporary payroll tax deferral.
Monday's U.S. economic data was bearish for T-notes after U.S. Jun J... Read more