Bonds Rise on Treasury Sale; Asian Stocks to Fall: Markets Wrap

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(Bloomberg) -- Bonds climbed after a solid $39 billion Treasury sale reflected speculation that Wednesday’s inflation reading will help make the case for the...

-- Bonds climbed after a solid $39 billion Treasury sale reflected speculation that Wednesday’s inflation reading will help make the case for the Federal Reserve to cut rates this year. Asian stocks look set to shrug off the positive US session and track lower.Demand in an auction of 10-year debt was strong, with the bid-to-cover ratio of 2.67 being the highest since February 2022 — the month before the start of the tightening cycle. US 10-year yields fell six basis points to 4.40%.

Markets are now awaiting the release of both inflation data and the Fed decision later Wednesday. Even with India’s post-election volatility, central banks in Japan and Taiwan gearing up for their own rate decisions and various Southeast Asian currencies testing key support levels, there’s no avoiding the fact that US monetary policy is the single most critical input for traders around the world.

“We expect Fed Chair Powell and company to maintain a position that stresses potential rate cuts remain contingent on the committee seeing further progress made on bringing down price pressures,” said Anthony Saglimbene at Ameriprise. Bank of America Corp. clients were big net buyers of US equities for the first time in six weeks, led by retail investors and hedge funds. They bought $1.9 billion of US stocks, with inflows into both single shares and exchange-traded funds, BofA strategists led by Jill Carey Hall said.

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Bonds Rise on Treasury Sale; Asian Stocks to Fall: Markets WrapBonds climbed after a solid $39 billion Treasury sale triggered speculation that Wednesday’s inflation reading will help make the case for the Federal Reserve to cut rates this year. Asian stocks look set to shrug off the positive US session and track lower.
Fonte: BNNBloomberg - 🏆 83. / 50 Consulte Mais informação »

Markets today: U.S. stocks rise as solid Treasury sale spurs CPI betsStocks joined bonds higher after a solid $39 billion Treasury sale triggered speculation that Wednesday’s inflation reading will help make the case for the Federal Reserve to cut rates this year.
Fonte: BNNBloomberg - 🏆 83. / 50 Consulte Mais informação »