(Bloomberg) – The Treasury market saw an increase while stocks recovered from earlier lows following a successful $39 billion US government bond sale. Traders are now preparing for a crucial inflation report and the upcoming Federal Reserve decision.
According to Bloomberg, the world’s largest bond market experienced a slight decline to accommodate the new supply of 10-year notes. The demand was robust, with a bid/cover ratio of 2.67, the highest since February 2022. Equities remained close to session highs, especially with Apple Inc. surging 6% to reach a new record. However, the KBW Bank Index dropped 2%, impacting major players like JPMorgan Chase & Co. and Citigroup Inc.
Peter Boockvar of the Boock Report expressed satisfaction with the bond market’s performance, stating that it is “finally smiling after many, many months of lackluster auctions.”
Andrew Brenner of NatAlliance Securities suggested that the strong bond auction indicates a positive outlook for the upcoming CPI report. He mentioned, ”The whisper number is better. Powell is going…”
2024-06-11 13:17:07
Original source: finance.yahoo.com