10-yr 4.068%
–
WSJ – A Little Dual Easing Soon Could Help the Fed Avoid Major Easing Later
Federal Reserve policymakers are considering when to start cutting rates, when to slow down the pace of quantitative tightening – By Justin Lahart, Jan. 29, 2024
Treasury
Treasury Announces Marketable Borrowing Estimates | U.S. Department of the Treasury
4 hours ago
Bloomberg.com
US Treasury Cuts Quarterly Borrowing Estimate to $760 Billion
4 hours ago
Reuters
US Treasury to borrow $760 billion in Q1, lower than October forecast
people can also do equities and wait for low priced bond markets too. it just depends on what they wanna do as bond markets got something for everyone.
Gotta love the CB’s (FED, RBI) problem is can’t decide which one to love more. =)
toddlers feed both parents with all the fruits but when they get a tub of ice cream they say nooo!! ice cream is bad!!! and eat the whole thing!!
January 29, 2024 at 7:35 pm #947
Why don’t they like big badanna companies?
If fed decides to cut rates then nows the time to go into equities as a matter of fact the next theme for me is equities, and whoever bought bonds/papers and kept at it from 2022 onwards till now has more than enough capital to finance their possies, they got the 1% of equity they need from bonds… That 1% rule originated from the time of low priced bond markets of the 70’s-80’s.
And like I said before the american markets are mirroring indian markets from 2022-2023 onwards, only for a longer period of time… First a DCB then launching into rocket mode but those will be few and scattered throughout then back into bond rallies with even more astronomical rates. Since murricans don’t like 5.75% as I have forecasted last year then 11-13% is acheivable over a period of time provided bonds keep on dropping then jumping which will get them closer and closer to those levels but in order to do that it’s safer to get into some equities and let the bonds cook on the back burner for some more time. It’ll take time but bond buyers will get the rates they want whether it is 5% or 11% or even 1%…
If they don’t want low bond rates then it is better to not buy them at all.
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Quiet day ahead of this week’s storm of events.
Focus today has been on risk of rising Middle East tensions but so far limited reactions.
Market focus is on interest rate expectations and timing of rate cuts (note EUR soft tone after there was no pushback on market expectations of an early rate cut).
Busy Week for Bonds Won’t Make Things Any Clearer for Traders
– (Bloomberg) — Bond traders looking for something to jolt the $27 trillion Treasury market out of its recent rut will probably still be left waiting for answers, even after a busy week packed with a Federal Reserve meeting, the government’s quarterly debt-sale plans and a slew of economic data.
jolt would be nice, maybe even exciting
Next week we have quite a few data’s , the most important be FOMC rate decision.
Check it out in our Economic calendar
January 28, 2024 at 12:48 pm #890
Just use 1% of equity or less per trade if using leverage, if using leverage then simply use less of your own capital per trade and more of the brokers capital. There are various ways on when to take profit meaning both for swing trading and position trading, whether using leverage or not using leverage. There is also contango in which a guarantor is ready with cash on tap for the trader, and that by the way is the most profitable form of trading because the trader has more than sufficient amount of ready cash to feed his winning positions whilst devoting less cash for trades which are in the process of becoming profitable. It goes deeper than this but yeah,… the unique principles of the trader are what matter the most and depend on what he is comfortable in doing for his account. The guarantor just has to sit back, relax and watch his money growing exponentially from one level to the next higher level.
Common Sense Guidelines for the Average ( and not so average 😀 Trader
Newsquawk Week Ahead:
FOMC, NFP, ISM Mfg PMI, BoE, EZ CPI and EZ GDP
Sun: New Zealand Trade Balance
Mon: Japanese Unemployment (Dec)
Tue: Israel Municipal Elections; Spanish Flash CPI (Jan), Swiss KOF (Jan), German Flash GDP (Q4), EZ Flash GDP (Q4), EZ Consumer Confidence Final (Dec), US Home Prices (Nov), JOLTS (Dec), Japanese Retail Sales (Dec)
Wed: Australian CPI, FOMC & BCB Policy Announcements, BoJ SOO (Jan); Chinese NBS PMIS (Jan), German Flash CPI (Jan), German Retail Sales (Dec), Import Prices (Dec), French Prelim. CPI (Jan), German Unemployment (Jan), EZ GDP Flash Prelim. (Q4), US ADP (Jan) and Employment Cost Index (Q4), Chicago PMI (Jan), Italian Prelim. PCI (Jan)
Thu: Chinese Caixin Manufacturing PMI (Jan), EZ/UK/US Manufacturing PMI Finals (Jan), EZ Flash CPI (Jan), BoE Announcement, ISM Manufacturing PMI (Jan).
Fri: US Jobs Report (Jan)
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