10-Year T-Note Futures Market News and Commentary
Jun T-notes (ZNM20) on Thursday closed down -3 ticks. The 10-year T-note yield rose +4.1 bp at 0.624%.
Jun 10-year T-note prices on Thursday fell back from a 3-1/2 week high after stocks moved higher and as crude oil prices surged. The rally in oil prices boosted stocks and also pushed inflation expectations higher, which was bearish for T-note prices. Losses in T-notes on Thursday were contained after U.S. weekly jobless claims soared to an all-time high.
T-notes on Thursday opened higher after the Fed took additional steps to boost liquidity when it said late Wednesday that it will relax the Supplementary Leverage Ratio (SLR) that it imposes on banks for a year. The move will reduce banks' capital requirements since they will no longer have to maintain capital for Treasuries and reserves, thus freeing up their balance sheets for increased lending and market-making activities.
Market volatility remains elevated as the coronavirus pandemic continues to expand th... Read more