Today’s Market Update

Treasury Losses Fade; Gilts Lag on U.K. Election Result
2019-12-13 12:21:16.248 GMT

By Edward Bolingbroke
(Bloomberg) — Treasuries unwind early sell-off to leave
yields richer across the front-end and little changed further
out. Declines were led by gilts following Conservative Party’s
decisive Parliamentary election victory that paves the way for
the U.K. to leave the EU by Jan. 31.
* Yields lower by 1.6bp across front-end of the curve,
steepening 2s10s by 1.4bp; 10-year at 1.89%, richer by 0.3bp vs.
Thursday close but still 5.6bp higher on the week after
Thursday’s 10.1bp increase spurred by reports of U.S.-China
trade agreement
** Gilts cheaper by 3bp vs. Treasuries as 10-year yields rose as
much as 7bp — highest since June — following U.K. election results
* Friday’s main U.S. events include November retail sales and
possible formal presentation by President Trump of an interim
deal with China that avoids further escalation of trade war
* 3-month dollar Libor +0.6bp at 1.89963%
* U.S. economic data calendar includes November import/export
price index and retail sales (8:30am) and October business
inventories (10am)
* Fed speakers include Williams, discussing monetary policy at a
New York event at 11am

To contact the reporter on this story:
Edward Bolingbroke in New York at ebolingbrok1@bloomberg.net
To contact the editors responsible for this story:
Benjamin Purvis at bpurvis@bloomberg.net
Elizabeth Stanton

Treasury Yields

Term  Current  Last Month
3 Month1.548%1.564%
6 Month1.547%1.578%
2 Year1.632%1.636%
5 Year1.713%1.691%
10 Year1.882%1.886%
30 Year2.303%2.365%
Yields updated each morning.
Source: Bloomberg

Benchmarks

PRIME4.75%
DJIA28,132.05
Crude Oil (WTI)$59.73
YEN109.5975
Gold$1,469.90
1 Year CMT1.53%
1 Month LIBOR1.7405%
Fed Funds Effective1.54%
Next FOMC MeetingJanuary 28-29th, 2020
Source: Bloomberg

Economic Indicator Calendar

DateEventPeriodSurv (M)ActualPriorRevised
12/10NFIB Small Business OptimismNov103.0104.7102.4
Nonfarm Productivity3Q F-0.1%-0.2%-0.3%
Unit Labor Costs3Q F3.4%2.5%3.6%
12/11MBA Mortgage Applications6-Dec3.8%-9.2%
CPI MoMNov0.2%0.3%0.4%
CPI Ex Food and Energy MoMNov0.2%0.2%0.2%
CPI YoYNov2.0%2.1%1.8%
CPI Ex Food and Energy YoYNov2.3%2.3%2.3%
CPI Core Index SANov265.476265.620265.011
CPI Index NSANov257.213257.208257.346
Real Avg Weekly Earnings YoYNov1.1%0.9%1.1%
Real Avg Hourly Earning YoYNov1.1%1.2%1.4%
Monthly Budget StatementNov-$206.2b-$208.8b-$204.9b
FOMC Rate Decision (Upper Bound)11-Dec1.75%1.75%1.75%
FOMC Rate Decision (Lower Bound)11-Dec1.50%1.50%1.50%
Interest Rate on Excess Reserves12-Dec1.55%1.55%1.55%
12/12PPI Final Demand MoMNov0.2%0.0%0.4%
PPI Ex Food and Energy MoMNov0.2%-0.2%0.3%
PPI Ex Food, Energy, Trade MoMNov0.2%0.0%0.1%
PPI Final Demand YoYNov1.2%1.1%1.1%
PPI Ex Food and Energy YoYNov1.7%1.3%1.6%
PPI Ex Food, Energy, Trade YoYNov1.3%1.5%
Initial Jobless Claims7-Dec214k252k203k
Continuing Claims30-Nov1678k1667k1693k1698k
Bloomberg Consumer Comfort8-Dec62.161.7
Household Change in Net Worth3Q$574b$1830b$1862b
12/13Import Price Index MoMNov0.2%0.2%-0.5%
Import Price Index ex Petroleum MoMNov-0.1%0.2%-0.1%
Import Price Index YoYNov-1.2%-1.3%-3.0%
Export Price Index MoMNov0.1%0.2%-0.1%
Export Price Index YoYNov-1.3%-2.2%-2.3%
Retail Sales Advance MoMNov0.5%0.2%0.3%0.4%
Retail Sales Ex Auto MoMNov0.4%0.1%0.2%0.3%
Retail Sales Ex Auto and GasNov0.4%0.0%0.1%0.2%
Retail Sales Control GroupNov0.3%0.1%0.3%
Business InventoriesOct0.2%0.2%0.0%-0.1%
Bloomberg Dec. United States Economic Survey
Source: Bloomberg