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So far Michael Colman has created 99 blog entries.

CFTC positions June 25th: AMs shed some long-end duration in the post-FOMC

CFTC positions June 25th: AMs shed some long-end duration in the post-FOMC: Data captures the sharp rally out of the dovish June FOMC meeting. The curve bull steepened aggressively as 2y yields dipped below 1.70% as the market moved to price in ~35bps cut in July. 2s10s steepened to a 28-30bps range while 5s30s broke above 80bps.

By |2019-07-01T08:56:58+01:00July 1st, 2019|

ITC – BoE June Meeting Preview: Almost Nothing To See, Move Along

On Thursday at 12:00 BST, BoE will issue Policy Decision Current Policy: Bank Rate: 0.75%; Asset Purchase Programme: £435bn; Corp Bond Purchases: up to £10bn In Brief: -Analysts surveyed by BBG unanimously expect no change in policy rates -No change expected on QE programmes

By |2019-06-20T10:31:38+01:00June 20th, 2019|

ITC – French 3y, 4y, 6y and Linker Auction Preview

On Thursday at 09:50 BST, France will auction OATs: €7.5 - 9.0bn 3y 0.00% Feb22, 4y 0.00% Mar23, 6y 0.00% Mar25 (~RX 23k futs) and OAT€i: €0.75 - 1.25bn 5y 0.25% Jul24, 11y 0.70% Jul30, 28y 0.10% Jul47 (~ RX 6k futs) Views: There is a lot of choice on sale today with 6 lines. French bonds appear popular at the moment and more specifically in the higher maturities. The 6y Mar-25 is closest to the vein of demand and still remains fairly close in Z-spread terms to equivalent maturity Belgian paper but cheaper than the smaller issuers of Austria and Finland. However, bid-cover numbers our auction history tables below demonstrate that short (sub 7y) French bonds have been the recipients of quite elevated bid-cover ratios recently and these auctions should offer little difficulty to digest.

By |2019-06-20T09:52:20+01:00June 20th, 2019|

FOMC: OIS Pricing in Even More Cuts After June Meeting

-After the June FOMC meeting, the whole FOMC dated OIS curve is pricing in an additional 9bp to 17bp cuts vs 1 day before the meeting -Market is fully pricing two 25bp cuts by September (just 2 meetings away), approx. three 25bp cuts by year end and four by June 2020!

By |2019-06-20T08:47:58+01:00June 20th, 2019|