• Markets are frozen in time. Well, not literally. But’s a close call. In overnight market action US Treasury yields remain decidedly range-bound, with the 10y now a wee bit lower at 1.56.
  • In US money markets the excess reserves/cash problems is going from bad to worse. Recourse to the Fed’s overnight reverse repo facility rose to a new ATH of 486 billion dollars. Still, the facility is doing its job as key overnight rates haven’t sagged through the floor at zero. Hence, the number of bank analyst expecting a rate hike tweak at next week’s FOMC meeting appears to be the minority.
  • Asian equity markets are showing some moderate losses this week, but it’s not even a blip in the greater scheme of things. S&P 500 futures are grinding away near their ATH.

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