The US traders have dipped the futures
Futures
Futures or a futures contract represents a legal agreement to buy or sell a security or asset at a predetermined price at a specified time in the future. Of note, the parties are not known to each other.These transactions usually involve commodities or other securities involving the buying and selling for a forward or predetermined price.Futures also adhere to a delivery date, which specifies the date of delivery and payment. Relative to other forms of investing futures are much more complex, as
Futures or a futures contract represents a legal agreement to buy or sell a security or asset at a predetermined price at a specified time in the future. Of note, the parties are not known to each other.These transactions usually involve commodities or other securities involving the buying and selling for a forward or predetermined price.Futures also adhere to a delivery date, which specifies the date of delivery and payment. Relative to other forms of investing futures are much more complex, as
Read this Term lower as they react more negatively to the US jobs report from Friday. The expectations of a 25 basis point
Basis point
A basis point is a unit of measurement used to express the change in
value of a financial instrument, such as a bond or a loan. One basis
point is equal to 0.01%, or one one-hundredth of a percentage point. For
example, if the interest rate on a bond increases from 5% to 5.25%,
that is an increase of 25 basis points. It is often used in the context
of interest rates, yield, and credit spreads. The short-hand for a basis point is bps and on a trading floor you will hear them referred to as ‘
A basis point is a unit of measurement used to express the change in
value of a financial instrument, such as a bond or a loan. One basis
point is equal to 0.01%, or one one-hundredth of a percentage point. For
example, if the interest rate on a bond increases from 5% to 5.25%,
that is an increase of 25 basis points. It is often used in the context
of interest rates, yield, and credit spreads. The short-hand for a basis point is bps and on a trading floor you will hear them referred to as ‘
Read this Term hike in May has increased toward 70% from just below 50% before the release on Friday.
Looking at the futures, the major indices are set open lower with the NASDAQ leading the way to the downside
- Dow industrial average is down -108 point
- S&P index is down -23.5 points
- NASDAQ index is -112 point
Looking at the US yields, the two year yield is now up 1.1 basis points at 3.982%. The yield is still below 4% but on Thursday (the high yield was at 5.085% back on March 8), the yield closed at 3.836%. Remember the US bond market was open on Friday for part of the trading day.
The 10 year yield is trading at 3.390% up 0.6 basis points. On Thursday the yield closed at 3.307%.
Admittedly it’s not a disaster in the US treasury market, but the lows may be in place with more upside potential.
Gold is moving lower with the higher dollar. Is currently down $-15.73 and back below the $2000 level at $1991.20. Crude oil is also marginally lower at $80.42 down around $0.28 on the day.
Source link
