In the next 2 weeks, there is more Favourable Information than Unfavourable Information!
Favourable Information 1: Recently, both the Democratic and Republican parties have realized that if the stalemate continues, something might happen, so they are actively promoting the passage of a "temporary funding bill." Therefore, there are bets on Polymarket that the stalemate will end between the 12th and 15th.
Favourable Information 2: Although the CPI data for the 13th could not be released on time, the market generally accepted that even if the shutdown were to end immediately, the Labor Department would not be able to complete the CPI data statistics before the 13th.
So, the CPI data may be released a few days before the interest rate meeting on December 10th—similar to the scenario in October, and with Trump's influence, it is likely to be favourable information for interest rate cuts.
Unfavourable Information 1:
This week there will be a $1,250 billion auction of U.S. Treasury bonds: - On Monday, $58 billion of 3-year government bonds will be auctioned. - On Wednesday, $42 billion of 10-year government bonds will be auctioned. - On Thursday, $250 billion of 30-year Treasury bonds will be auctioned off.
The decline tonight is likely also due to the market liquidity being reduced by another 58 billion because of the government bond auction.
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In the next 2 weeks, there is more Favourable Information than Unfavourable Information!
Favourable Information 1:
Recently, both the Democratic and Republican parties have realized that if the stalemate continues, something might happen, so they are actively promoting the passage of a "temporary funding bill." Therefore, there are bets on Polymarket that the stalemate will end between the 12th and 15th.
Favourable Information 2:
Although the CPI data for the 13th could not be released on time, the market generally accepted that even if the shutdown were to end immediately, the Labor Department would not be able to complete the CPI data statistics before the 13th.
So, the CPI data may be released a few days before the interest rate meeting on December 10th—similar to the scenario in October, and with Trump's influence, it is likely to be favourable information for interest rate cuts.
Unfavourable Information 1:
This week there will be a $1,250 billion auction of U.S. Treasury bonds:
- On Monday, $58 billion of 3-year government bonds will be auctioned.
- On Wednesday, $42 billion of 10-year government bonds will be auctioned.
- On Thursday, $250 billion of 30-year Treasury bonds will be auctioned off.
The decline tonight is likely also due to the market liquidity being reduced by another 58 billion because of the government bond auction.