10-Year T-Note Futures Market News and Commentary
Mar T-notes (ZNH20) on Wednesday closed down -19.5 ticks. The 10-year T-note yield rose by +6.0 bp to 1.776%.
Mar T-notes retreated on Wednesday as renewed optimism about a US/Chinese trade deal fueled a stock market rally and undercut safe-haven demand for T-notes.
Trade optimism improved after Bloomberg reported Wednesday that U.S. trade negotiators expect a phase-one trade deal with China to be completed before U.S. tariffs are set to increase on Dec 15, despite tensions over Hong Kong and Xinjiang where U.S. legislators voted to sanction Chinese officials for alleged human-rights abuses. The Bloomberg report said the only outstanding issues are how to guarantee Chinese purchases of U.S. agricultural goods and exactly which tariffs will be rolled back.
Higher German bund yields also weighed on T-note prices with the 10-year German bund yield rising +3.4 bp Wednesday to -0.315%. Bund yields rose on Wednesday's positive economic data that was hawkish for ECB po... Read more