Some Customer Flow Stuff

May 29th, 2014 8:24 pm | by John Jansen |

Via RBS Securities:

Our Treasury flows were fast money buying of 10’s and real money selling of 7’s and 5’s. In swaps, we had bank receiving of 5yr rate, insurance receiving of 10yr rate, and fast money paying of 5’s-10’s-30’s and receiving of 10yr rate. In TIPS, we had fast money selling of the front end out to the 10yr sector, real money buying of 5’s and 10’s, and fast money buying of 5yr breakevens. Treasury inter-dealer broker volume was 112% of the 10-day average.

Mortgages: Mortgages gave back all of yesterday’s gains by the close. Money managers were better sellers for the balance of the session and origination ramped up while the Fed was the only material buyer of mortgages. We also had fast money short covering later in the day, but 3.5’s still closed 3.5 ticks wider vs. swaps. Origination was $1bln.

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