US Bank: UST no longer acting like safe-haven asset.
Founders AM | FOMC Prep
Housekeeping: Good Morning.
It’s FOMC week and we have what is likely the best most concise preview from BNY this month. BNY, for those uninitiated, is one of the bigger ”normal” banks on the street and would not seem cutting edge by their public profile.
What few know is BNY over the years had a very (very) active proprietary trading division. The analysis attached was no doubt culled from one of those trading mindsets. As such, here it is written up and also in original form for Founders. This might be the only thing you need to read pre FOMC.
What really caught our eye is the scatter-gram showing Treasury bond market behavior. While there has been no dumping seen, the pre to post Liberation day data shows some concerning behavioral evidence. Concerns about USTs are not all BS apparently
VBL