Oddbean

Global Bond Rally Faces Supply Test as US Refunding Kicks Off ========== The global bond rally will face a test as the US Treasury begins sales totaling $125 billion this week. Investors will have to absorb $58 billion in three-year Treasuries on Tuesday, followed by $67 billion of 10- and 30-year Treasury securities later in the week. The sales will determine if investors are still interested in buying Treasuries after the recent decline in yields. The rally in Treasuries was sparked by Federal Reserve Chair Jerome Powell's comments signaling potential rate cuts. The continuation of the rally will depend on upcoming economic data and the US inflation report for April. US yields remain elevated compared to earlier this year, which has kept buyers engaged in recent auctions. #BondMarket #UsTreasury #InterestRates #FederalReserve #Yield #Inflation https://www.bloomberg.com/news/articles/2024-05-07/global-bond-rally-faces-supply-test-as-us-refunding-kicks-off