The world’s biggest bond market rebounded, with traders gearing up for Wednesday’s US$42 billion sale of 10-year Treasuries after a solid start to this week’s ramped-up issuance sizes.
Following a selloff that drove two-year yields to the highest since before the Fed’s December “pivot,” bonds climbed. A $54 billion sale of three-year notes drew solid demand, bolstering sentiment and making traders shrug off a slew of cautious remarks from Federal Reserve speakers. The S&P 500 wavered. Megacaps were mixed, with Tesla Inc. up and Nvidia Corp. down. U.S.-listed Chinese stocks rallied on bets the nation will be more forceful to prop up markets. New York Community Bancorp hit its lowest since 2000.
As expected a drumbeat of Fed officials joined Jerome Powell’s signals that the central bank will be in no rush to cut rates. Fed Bank of Minneapolis President Neel Kashkari noted the central bank has not yet reached its goal….
