Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : The Naked Truth - Big Kahuna a Myth -- Ignore unavailable to you. Want to Upgrade?

To: Defrocked who wrote (36453)	4/27/1999 9:38:00 AM
From: John Pitera	Respond to of 86076

Def, I will be watching the bond closely today. That was an interesting rally yesterday Close Monday 307-739-0784 30-year: +7/32...5.577%.....GNMAs Dec: +3/32...97-09 Treasuries lower overnight in extremely thin volume. Market hampered by declines in European bonds, as well as a lack of interest on the part of Japanese accounts who were largely seen buying JGBs, which rallied for the fifth time in the last six sessions. Investors continued to pour into Asian stocks, and while the Nikkei ended slightly lower on the day, foreigners were heavy buyers in the banking sector. With no significant news on which to focus, the market headed lower with additional pressure in the wake of the $2.5 bln 10-year Fannie Mae deal. Treasuries did manage to find some support from a decline in oil prices as well as a jump in dollar-yen. Dollar-yen gains were largely fueled by comments from Japanese FinMin Miyazawa, who suggested that Japan did not need to increase spending to stimulate the economy. <?b> Afternoon trading was extremely quiet as Treasuries moved off their lows for the session. The June T-bond managed to gap higher late in the session, with gains exacerbated by a flurry of short covering. The contract broke through resistance at 121-06, Friday's session high, and closed at 121-12, above the 3-day moving average at 121-10. The 2/30 spread narrowed to 56.6 bp from 57.4 bp yesterday. While there was little overall movement in the curve, some flattening was seen with better short covering in the long end. This sector was also boosted by expectations of another round of favorable inflation data ahead of the Thursday's release of the Q1 Employment Cost Index. Volume was once again on the light side at $50 bln on GovPX.