US Dollar Dollar Down, US Treasuries Up

US Treasury Complex

The US Treasury complex drove North Friday with big gainers in maturities of 5 yrs and longer. The only potentially market-moving event was San Francisco Fed President John C. Williams’ speech and it ended up being more of the same. The Eurogroup meets Monday to seek an 11th hour  solution for Greece

  • Yield
    • 2-yr: -2 bpts to 0.62%
    • 5-yr: -6 bpts to 1.57%
    • 10-yr: -7 bpts to 2.26%
    • 30-yr: -7 bpts to 3.06%
  • News
    • Overnight, the Shanghai Composite fell 6.42%, putting the index down 13.5% from its 52-wk high, reached earlier in June
    • The Bank of Greece requested EUR 3.5-B of emergency funding from the ECB. Over EUR2-B was withdrawn from Greek banks this week. The ECB approved a 1.8-B Euro increase.

 

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US Dollar (.DXY) Index

The US Dollar Index is down 0.02% to 94.04 after trading as high as 94.50 earlier Friday

  • EUR/USD: -0.02% to 1.1367
    • The Eurogroup of the 19 eurozone finance ministers will meet Monday to seek an 11th hour solution for Greece’s debt crisis. Failure is not guaranteed to send the single currency lower
    • Greece has to pay the IMF EUR 1.5-B by the end of June and does not have enough cash to make that payment
    • German PPI was unchanged in May from April. The market had been looking for growth of 0.2%
  • GBP/USD: +0.04% to 1.5884
  • USD/JPY: -0.35% to 122.61
  • USD/CHF: -0.51% to 0.9166
  • USD/CAD: +0.27% to 1.2259
    • Canada’s Core CPI for May grew a better-than-expected 0.4% M-M. The reading for April was +0.1%
    • Core Retail Sales fell 0.6% M-M in April. This was worse than expected and the 0.7% gainer from March
  • AUD/USD: -0.28% to 0.7768
  • NZD/USD: -0.22% to 0.6902

Have a terrific weekend.

HeffX-LTN

Paul Ebeling

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