22nd February 2024

  • Bond Traders Brace for Another US Selloff, Unwind Bullish Bets

Brisk demand for options targeting 10-year yield over 4.5%

New bond short positions appeared to build after Friday’s PPI

https://blinks.bloomberg.com/news/stories/S95Z7RT1UM0W

  • FOMC Minutes Suggest Fed Seeks Smallest Balance Sheet Possible

Assets have declined by about $1.3 trillion since June 2022

Policymakers said slower QT could ease shift to ample reserves

https://blinks.bloomberg.com/news/stories/S97NTUDWLU68

  • Most Fed Officials Flagged Risks of Cutting Rates Too Quickly

Minutes of Jan. 30-31 meeting were released Wednesday

Fed seeks more evidence inflation is on downward path

https://blinks.bloomberg.com/news/stories/S9817RT0AFB4

  • Fed’s Bowman Says That Time for Rate Cut Is ‘Certainly Not Now’

She also repeated her criticism of plan to boost bank capital

Fed Gov. Michelle Bowman spoke during event in Washington

https://blinks.bloomberg.com/news/stories/S97YB2DWRGG0

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