Treasuries on pause as traders await signs of another Fed jumbo cut

Treasuries on pause as traders await signs of another Fed jumbo cut
All eyes are jobless claims and Fed speakers for signals.
SEP 26, 2024
By 

Traders hit the pause button on Treasuries ahead of a series of data and Federal Reserve speakers later Thursday that may determine whether the central bank repeats a jumbo-sized interest-rate cut in November. 

US jobless claims as well as revisions to second-quarter growth numbers will shed light on the status of the economy. Then, Fed chair Jerome Powell will headline a slate of eight policymaker speakers when he gives the opening remarks at the 10th annual US Treasury Market Conference in New York. 

“The data could stir up markets given the Fed’s data-sensitivity,” Hauke Siemssen, a strategist at Commerzbank AG, wrote in a client note. “This could put question marks behind a second 50 basis-point Fed cut in November.”

Money markets are broadly split between a 25- and 50-basis-point Fed reduction at the next meeting, after raising bets on cuts earlier this week when US consumer confidence data fell by the most in three years. Traders expect three quarter-point cuts by year-end. 

Evelyne Gomez-Liechti, a strategist at Mizuho International Plc. expects the US 10-year yield to fall below 3.75% if growth numbers are revised lower than forecast and the jobless claims figure jumps more than expected. The 10-year rate was trading 1 basis point lower at 3.78% at 4:55 a.m. New York time, after jumping six basis points the previous day.

Latest News

SEC bars ex-broker who sold clients phony private equity fund
SEC bars ex-broker who sold clients phony private equity fund

Rajesh Markan earlier this year pleaded guilty to one count of criminal fraud related to his sale of fake investments to 10 clients totaling $2.9 million.

The key to attracting and retaining the next generation of advisors? Client-focused training
The key to attracting and retaining the next generation of advisors? Client-focused training

From building trust to steering through emotions and responding to client challenges, new advisors need human skills to shape the future of the advice industry.

Chuck Roberts, ex-star at Stifel, barred from the securities industry
Chuck Roberts, ex-star at Stifel, barred from the securities industry

"The outcome is correct, but it's disappointing that FINRA had ample opportunity to investigate the merits of clients' allegations in these claims, including the testimony in the three investor arbitrations with hearings," Jeff Erez, a plaintiff's attorney representing a large portion of the Stifel clients, said.

SEC to weigh ‘innovation exception’ tied to crypto, Atkins says
SEC to weigh ‘innovation exception’ tied to crypto, Atkins says

Chair also praised the passage of stablecoin legislation this week.

Brooklyn-based Maridea snaps up former LPL affiliate to expand in the Midwest
Brooklyn-based Maridea snaps up former LPL affiliate to expand in the Midwest

Maridea Wealth Management's deal in Chicago, Illinois is its first after securing a strategic investment in April.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.