Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Markets & Finance

Treasury End Sharply Higher


Treasuries ended sharply higher as shorts capitulated and large supply kept a swap bid in the market. The overnight foreign-exchange-linke Treasury rally that was sparked by the Bank of Japan's intervention persisted into New York.

Initial selling emerged, with a corporate bid list also weighing. But a highly regarded dealer investor survey confirmed the Street was net short. Coupled with a round of weaker-than-expected economic news and rate lock buying vs. several deal pricings, huge shorts capitulated. Forced in buying then underscored a grinding bid. While traders covered shorts, higher prices encouraged fresh longs as well.

Retail (domestic and foreign) was also forced in, with large Japanese buying seen in eurodollars. Swappers were among the larger buyers of eurodollars, and hedge funds stepped in, so as the locals scrambled, the front-end also surged.


LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus