Treasury Market Outlook: stocks are broadly lower

Treasury Market Outlook: stocks are broadly lower after another rout in the NASDAQ yesterday. Bonds found a bid on the risk-off flows. The CSI plunged -3.15% on rising worries over the stability of China's property market. Spillover saw the Hang Seng and the Nikkei dive over -2%. In Europe, the markets are coming off their lows but the FTSE is still down -0.87% and the DAX is off -0.4%. U.S. futures show the S&P 500 and NASDAQ off about -0.3% and the Dow -0.17% lower. Bonds have a bid, recovering slightly from recent weakness with the 10-year Treasury 2.4 bps lower at 1.455%. The Gilt is 4.4 bps richer at 0.733% and the Bund is 3 bps lower a t-0.319%. Data showed German retail sales falling -5.9% while the unemployment rate held at 8.1%. ECB's Knot joined teh chorus playing down down the rise in yields and signaling that the European central bank will continue to use jawboning to try to manage the move in rates. Attention will turn to Fed Chair Powell's comments later today. U.S. data will be monitored too with jobless claims and factory orders. The Treasury announces 3-, 10-, and 30-year auctions. The earnings calendar has Broadcom, Costco, Canadian Natural Resources, Kroger, Cooper Companies, Burlington Stores, Toro, and National Beverage.