10-Year T-Note Futures Market News and Commentary
Jun 10-year T-notes (ZNM21) on Friday closed down -8.5 ticks. The 10-year T-note yield rose +4.3 bp to 1.662%.
June 10-year T-note prices (ZNM21) on Friday fell back on negative carry-over from an increase in German bund yields. Bunds retreated on supply concerns after Italy pushed forward plans to borrow more than 40 billion euros ($48 billion) as it seeks to ramp up government spending. T-note losses fell to their lows Friday morning after U.S. March producer prices rose more than expected.
Friday's U.S producer price data was hawkish for Fed policy and bearish for T-notes after the Mar core PPI rose +0.7% m/m and +3.1% y/y, stronger than expectations of +0.2% m/m and +2.7% y/y. The +3.1% y/y gain was the largest in 10 years.
There was also bearish global PPI news from China. Friday's China Mar PPI rose +4.4% y/y, stronger than expectations of +3.6% y/y and the largest increase in 2-1/2 years.
Fed comments on Friday were m... Read more