(Seoul = Yonhap Infomax) Reporter Kang Su-ji = In the Asian market on the 9th, US government bond yields continued to adjust slightly, digesting the recent surge.
Federal Reserve Chairman Jerome Powell’s hawkish remarks continued and US interest rates continued to rise overnight, but as the same content was repeated in the House of Representatives testimony following the Senate, the rise in the Asian market seems to have subsided.
However, it seems that the hawkish remarks have not been completely digested, as interest rates are also reducing their fall in the Asian market.
According to Yonhap Infomax Overseas Interest Rate (screen number 6531), as of 10:52 am on the same day, the 10-year US Treasury bond yield was trading at 3.9884%, down 0.38bp from the battlefield.
At the same time, the 2-year yield was traded at 5.0621%, down 0.80bp, and the 30-year yield was traded at 3.8941%, down 0.32bp.
Overnight, 2-year and 10-year Treasury yields continued to rise.
After Fed Chairman Powell mentioned in his semiannual monetary policy report to the Senate that the pace of interest rate hikes could be accelerated, the House of Representatives also said the same, keeping the interest rate hike wary.
Amid the possibility of a rate hike of 50 basis points at the Federal Open Market Committee (FOMC) in March, the two-year Treasury yield remained at around 5%.
The gap between the 10-year and 2-year bonds widened to -108.1bp from -103.6bp on the previous trading day.
In House testimony that day, Speaker Powell made the same statement about the need for faster austerity.
However, he stressed that “no decision has yet been made on the March meeting,” and that “we will not make a decision until we see further data.”
In the federal funds rate futures market, the possibility of a 50bp interest rate hike by the US Fed in March was reflected as 77.9%. The possibility of a 25bp hike was reflected at 22.1%.
The dollar increased slightly, but continued to strengthen. The Dollar Index, which represents the value of the dollar against six major currencies, traded at 105.724, up 0.08% from the battlefield.
sskang@yna.co.kr
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This article was served at 10:58, 2 hours earlier on the Infomax financial information terminal.
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