In anticipation of the upcoming policy tightening cycle, the global bond market resumed downward move following recent several hawkish comments from FED members which, in turn, led markets to bet on a higher probability of the Fed lifting rates by 50 rather than 25 basis points during its next meeting in May. Major central banks have tried to contain inflation, which is currently hitting record levels in Europe and a 40-year high in the US. During today's session, the yield on the US 10-year bond, which sets the tone for the cost of corporate and household debt worldwide, rose above 2.46%, a level not seen since May 2019. The yield on 10-year German Bunds, a benchmark for Europe, jumped to 0.56%, the highest since May 2018, while French 10-year yields remained above 1%.
TNOTE resumed downward move and broke below major support at 122.50 which coincides with 78.6% Fibonacci retracement of the upward wave launched in October 2018. If current sentiment prevails, downward move may accelerate towards 117.50. Source: xStation5
Daily Summary - Powerful NFP report could delay Fed rate cuts
US OPEN: Blowout Payrolls Signal Slower Path for Rate Cuts?
BREAKING: US100 jumps amid stronger than expected US NFP report
Market wrap: Oil gains amid US - Iran tensions 📈 European indices muted before US NFP report
The material on this page does not constitute as financial advice and does not take into account your level of understanding, investment objectives, financial situation or any other particular needs.
All the information provided, including opinions, market research, mathematical results and technical analyses published on the website or transmitted to you by other means is provided for information purposes only and should in no event be interpreted as an offer of, or solicitation for, a transaction in any financial instrument, nor should the information provided be construed as advice of legal or fiscal nature.
Any investment decisions you make shall be based exclusively on your level of understanding, investment objectives, financial situation or any other particular needs. Any decision to act on information published on the website or transmitted to you by other means is entirely at your own risk. You are solely responsible for such decisions.
If you are in doubt or are not sure that you understand a particular product, instrument, service, or transaction, you should seek professional or legal advice before trading.
Investing in OTC Derivatives carries a high degree of risk, as they are leveraged based products and often small movements in the market could lead to much larger movements in the value of your investment and this could work against you or for you. Please ensure that you fully understand the risks involved, taking into account your investments objectives and level of experience, before trading, and if necessary, seek independent advice.
