21st October 2022

  • Treasuries Tumble in Longest Slump Since 1984 on Hawkish Fed

US 10-year yields climb for 12th week, matching record

Traders up peak rate bets to 5% on Fed Harker’s hawkish words

https://blinks.bloomberg.com/news/stories/RK30EHT0AFB4

  • Fed Swaps Price In 5% Peak for Policy Rate in First Half of 2023

Terminal fed funds rate is seen prevailing in March or May

Expected peak was below 4.70% as recently as Oct. 13

https://blinks.bloomberg.com/news/stories/RK2G6HT0AFB4

  • Usage of Fed’s Foreign Reverse Repo Pool Retreats From Record

Balances at facility fell to $330 billion through Oct. 19

Elevated balances may be rotation into overnight assets: Citi

https://blinks.bloomberg.com/news/stories/RK2K9OT0AFB4

  • Fed’s Harker Expects Rates to Be ‘Well Above’ 4% by Year End

Philadelphia chief sees pause in hikes sometime next year

Says officials should hold restrictive rates for ‘a while’

https://blinks.bloomberg.com/news/stories/RK29KWT0AFB4

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