Treasury Market Outlook: Treasuries are little changed
Treasury Market Outlook: Treasuries are little changed with a slight bullish bias, alongside small declines in Asian and European rates. The 10-year T-note is at 2.634%, with the 2-year at 2.487%. The JGB finished 0.5 bps lower at -0.046%, while the Bund is 0.7 bps lower at 0.096%, with the Gilt down 0.3 bps to 1.165%. U.S. equity futures are modestly weaker with the Dow off 0.0.8%, while European bourses are about 0.2% to 0.5% higher. Asian markets closed with slight gains too. The firmer tone was supported by hopes that the March 1 tariff deadline will be extended after President Trump said there is no "magical date." However, the yuan firmed overnight after the U.S. indicated it wanted a no-devaluation pledge from Beijing. Meanwhile, EU Commission Juncker threw cold water on hopes for a Brexit deal when he meets with May today. ECB's Praet continued to sound dovish. There was strong demand in the German 5-year auction. In the U.S., the focus will be on the FOMC minutes from the January 29-30 FOMC meeting. Note that Washington is closed today due to snow. The MBA reported mortgage applications rose 3.6% in the February 15 week. There is Fedspeak from Bullard. The Treasury auctions $18.0 B of re-opened 2-year FRNs. Today's earnings calendar features Agilent Technologies, Analog Devices, CVS Health, Entergy, GoDaddy, HSBC, and NetEase.