Treasury Market Outlook:
Treasury Market Outlook: 10-year Treasury yields are down -0.6 bp at 3.13% amid a broad based pull back in global yields. EGBs underperformed as Brexit euphoria faded and data releases added support, with the contraction in German GDP in particular grabbing investor's attention. In London May is struggling to get cabinet backing for her deal in time to get EU leaders to schedule a summit for November 25. There is sufficient opposition to make a vote in parliament very difficult, however and 10-year Bund yields fell back -3.7 this morning, Bund rates corrected -1.8 bp, JGB yields are down -0.5 bp. Stock markets headed mostly south during the Asian session and were also under pressure in Europe, although markets managed to move up from lows as oil prices steadied on reports that producers discussed larger supply cuts than initially rumoured. U.S. stock futures have also moved up from lows and are trading narrowly mixed, with only the NASDAQ future still in the red. The calendar has October CPI today. Weekly MBA mortgage and oil inventory figures are also due. Fed chairman Powell will be speaking at a Dallas Fed Q&A session.