If the US CPI shows an upward surprise, there are concerns that pessimism will increase after the employment statistics - bond market.
Last updated: October 10, 2024, 10:21 JST (excerpt).
The core index is expected to remain flat from August, with a year-on-year increase rate of 3.2%.
Position is tilting towards hedging the scenario of a 25 bps rate cut in November.
Bond traders, who are betting on further decline in the US bond market, are seeking clues to the pace of rate cuts by the Federal Reserve, focusing on the September Consumer Price Index (CPI) announced on the 10th.
Over the weekend, investors abandoned the expectation of another 0.5 point rate cut by the Federal Open Market Committee (FOMC) by year-end, following the strong growth in the September nonfarm payroll numbers. This led to selling pressure in the bond market, causing yields to rise. With easing concerns about US employment, investors are turning their attention to September's CPI to gauge signs of the Federal Reserve controlling inflationary pressures.
The core index is expected to remain flat from August, with a year-on-year increase rate of 3.2%.
Position is tilting towards hedging the scenario of a 25 bps rate cut in November.
Bond traders, who are betting on further decline in the US bond market, are seeking clues to the pace of rate cuts by the Federal Reserve, focusing on the September Consumer Price Index (CPI) announced on the 10th.
Over the weekend, investors abandoned the expectation of another 0.5 point rate cut by the Federal Open Market Committee (FOMC) by year-end, following the strong growth in the September nonfarm payroll numbers. This led to selling pressure in the bond market, causing yields to rise. With easing concerns about US employment, investors are turning their attention to September's CPI to gauge signs of the Federal Reserve controlling inflationary pressures.
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