Bonds market crashed, as we see U.S. 10-year Treasury notes had hit their lowest since November 2016 on Wednesday, the yields pushed down by bets that the European Central Bank's next chief will maintain a dovish policy stance to buoy the eurozone economy.
"For central banks, everyone is expecting dovish moves, not only for U.S. but also for Europe and even Japan," said Christophe Barraud, chief economist at Market Securities in Paris. "Everybody is a optimistic for quick central bank moves."
Meanwhile, bond market in US is falling, The fall in U.S. Treasuries came after a report showed U.S. companies added fewer jobs than expected in June, raising concerns the labor market is softening even as the current U.S. economic expansion marked a record run last month.
4th July is independence day, With Wall Street closed for the Independence Day holiday, the market's focus is now on Friday's U.S. non-farm payrolls, which most economists expect to have risen by 160,000 in June compared with 75,000 in May. Hopefully this will help the market
Separately, some awkward statements by U.S. President Donald Trump on Wednesday repeated his call for the United States to manipulate currencies and pump money into their economies.
In the euro zone, government borrowing costs have fallen to record lows after EU leaders agreed late on Tuesday to name Christine Lagarde as the ECB's new president. Bond market is trying to confirms that the economy is weak
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