Holding Wednesday’s Gains as Market Stays Sanguine on Tariffs, Debt — TradingView News

US TSY prices are maintaining Wed’s stellar bull flattening gains. It seems people prefer to focus on positives and not negatives. The real effect of tariffs won’t be felt til Aug at earliest and the term TACO has resurfaced – implying Trump will chicken out again. To date, jobs and inflation data show solid employment and modest inflation. Fed minutes released yesterday offered small hints at softening on topic of rate cuts. So even though Fed is clearly in wait and see mode, markets are not dismissing Trump jawboning and his ability to get what he wants. For some reason, markets do not seem worried about massive amounts of added debt needed to finance growing deficit and do not question estimated amount of revenue that will be generated by tariffs. No more data today but a few Fed speakers later. Highlight will be $22B 30Y bond reopening. But yesterday’s $39B 10Y reopening was well received even at lower yields.