Treasury Market Outlook: core bonds are slightly firmer
Treasury Market Outlook: core bonds are slightly firmer as yields have edged lower as risk continues to be shunned on North Korean fears. The 10-year Treasury rate is down about 1 bp to 2.236%, while the Bund and Gilt rates are at 0.419% and 1.103%, respectively. Red is dominating equity screens, with the FTSE and Hang Seng leading the declines with losses of over 1%. Stronger U.K. data and GBP have weighed on the FTSE. Meanwhile, the yen remains a safe haven and has continued to rally. Data will come into view today and could distract a bit with July PPI and weekly jobless claims, along with the July Treasury budget. The Treasury completes its August refunding with its $15 B 30-year bond auction. For Fedspeak, Dudley holds press briefing from New York. The earnings calendar slows, with featured reports coming from Aegon, Coca-Cola Europe, Kohl's, Macy's, News Corp., NVIDIA and Perrigo.