Euro$ interest rate futures trickled lower
Euro$ interest rate futures trickled lower with the rate complex looking a tad defensive to start the shortened week as stocks steady in shallow positive territory. Fed Chair Yellen will have a couple of appearances, starting with moderated discussion at NYU tomorrow after the close and then again before the JEC next week, a testimony that is likely to be her last as Chair. That could keep the rate futures cautious for now heading into those events. The December 2017 contract is 0.5-ticks lower near 98.4525 (1.5475% implied 3-month yield), while the deferreds are 1.5-2.5 ticks lower out the back. Tax cut legislation is pending as well and a break-through by the Senate could weigh on euro$s, even as it would help shore up forecasts for 3 or even 4 Fed hikes in 2018.