2-Year T-Note Futures Market News and Commentary
Mar T-notes (ZNH20) on Monday closed up +25.5 ticks. The 10-year T-note yield fell -9.5 bp to 1.376%.
Mar T-note prices on Monday rallied to a 3-1/2 year nearest-futures high, while the 10-year T-note yield plunged to a 3-1/2 year low of 1.351%. T-note prices rose sharply on safe-haven demand and on the economic damage being done by the spread of the coronavirus outside of China. The market on Monday further boosted expectations for Fed rate cuts through year-end.
U.S. stock indexes on Monday sold off sharply for a second session as the China coronavirus spreads outside China. Confirmed cases of the virus are now reported at 79,440 in more than 30 countries and have caused 2,624 deaths.
G-20 finance ministers meeting over the weekend in Saudi Arabia warned that they see downside risks to global growth persisting as the coronavirus raises economic uncertainty and disrupts supply chains.
Comments on Monday from Cleveland Fed President Mester (voter) were sl... Read more