http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/http://www.fxstreet.com/fundamental/http://mediaserver.fxstreet.com/images/fxstreet-provider-logo1-en.gif7http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-09-02.htmlDon’t let anyone try to convince you that today’s low interest rate environment is dull and that opportunity is a thing of the past. Within the space of less than 24 hours the 10-year treasury yield has swung by a full quarter of one percent or 25 basis points sparked by a combination of a slowing economy and what measures might be adopted by the central bank to halt the slump. Treasury futures on Friday ran in to stiff overhead resistance after benchmark U.S. government yields approached theFri, 02 Sep 2011 14:45:21 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-09-02.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-31.htmlGovernment bond trading was buffeted by opposing forces midweek. The recent dashing of expectations evident in most economic reports during the last month has hardly healed. Pressure on yields remains to the downside but the growing hopes for a further reappraisal of the Fed’s balance sheet is boosting expectations that the recent spate of weaker data will soon be countered by remedial action of some sort. Global short ends are already low and curves have flattened about as far as they canWed, 31 Aug 2011 15:23:40 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-31.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-26.htmlFed Chief Bernanke attempted to shift some of the burden from the central bank’s already-wide shoulders by calling on congress to deliver a short-term fiscal stimulus to aid the economy. The widely anticipated speech failed to address further quantitative easing but reiterated much of what the Fed said in its August 9 policy statement. Bernanke repeated that the economy was not in a good place with the S&P downgrade and the congressional debt-ceiling debacle stalling confidence when theFri, 26 Aug 2011 14:30:05 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-26.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-24.htmlTwo pieces of economic data questioning the conviction of bearish expectations ahead for the economy provoked sales of U.S. bonds midweek. Elsewhere bond yields rose even though some measures of sentiment continued to fall. It would seem that the market is fully prepped for Fed Chairman Bernanke’s Friday delivery in Wyoming even though they know not what to expect. Eurodollar futures – September treasury note futures slid by a half-point to a session low after a national housing reportWed, 24 Aug 2011 16:09:03 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-24.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-22.htmlBonds were shaken out of bed on Monday morning as dealers adopted a much more upbeat view on the prospects for the global economy in the event that the Federal Reserve decides to take a third stab at stimulating the economy through open market purchases of government bonds. Friday’s speech from Chairman at the Fed Ben Bernanke is the week’s big event and dealers have already determined that the world economy is so bad and the U.S. economy is so dire that nothing less than a third round ofMon, 22 Aug 2011 16:09:33 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-22.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-16.htmlAn earlier rally for fixed income fuelled by weak growth and output data faded as equity investors proved a resilient bunch on Tuesday. There were blatant signs of worry sounding from central bankers in Britain and Australia as they warned about the potential for dislocation stemming from fragile financial markets. Although such worries might be warranted, investors seem to be of the belief that having stood the strain of last week, perhaps we’re already beyond the point of maximum stress.Tue, 16 Aug 2011 16:26:28 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-16.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-15.htmlThere was a muted response to the third-straight reading of contraction amongst manufacturers across the Empire State. While the dollar’s slide was notable, there was little left for the treasury market to do other than unwind a slim loss. Bond dealers are likely going to have to accept smaller daily ranges and perhaps lower volatility after the Federal Reserve outlawed discussion of tighter monetary policy at last week’s meeting. And that means that with permanently low yields a fixation ofMon, 15 Aug 2011 16:04:21 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-15.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-05.htmlTreasury yields rose following an employment report that spared investors yet another day of fire sales for equities. On Thursday the treasury yield curve fell with three-month bills yielding a big-fat zero, two-year yields at a record low while the benchmark 10-year fell to match its pre-QE2 panic low at 2.33% of October 2010. The revision to June labor market data is comforting and the addition of more than forecast jobs in the July report is proof that the economy actually has some tractionFri, 05 Aug 2011 16:33:00 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-05.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-04.htmlAn improvement in sentiment was quickly reversed midweek as investors were robbed of the only hopeful event on this week’s economic calendar. The services sector was due a rebound according to onlookers, and it would have matched the pattern woven in other leading nations. In the event the services sector marched in lockstep with the manufacturing sector and is heading for a standstill as the economy appears to be heading back into recession. As the negative data builds higher, investors areThu, 04 Aug 2011 07:43:39 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-04.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-02.htmlTrading emotions are mixed ahead of an after-hours vote in the House of Representatives when House Speaker Boehner will attempt to pass legislation aimed at a two-step debt-ceiling increase that would cut spending by $917 billion over a decade. On the one hand dealers are of course concerned over the potential for default in the world’s largest economy and the likely loss of a coveted AAA-sovereign debt rating. However, such an event would likely accelerate economic malaise requiring a furtherTue, 02 Aug 2011 15:34:33 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-02.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-01.htmlMonday morning isn’t quite turning out as planned or at least as pre-market futures trading patters indicated earlier. Surging equity prices have floundered while a sinking dollar has reversed course following a slump in a key manufacturing gauge indicative of a standstill across the sector. The impact of a plausible solution to the debt-ceiling has quickly faded with most leaving the worry of a U.S. default in the dust choosing to focus instead on the rocky road to recovery. EurodollarMon, 01 Aug 2011 16:24:33 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-08-01.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-28.htmlTrading emotions are mixed ahead of an after-hours vote in the House of Representatives when House Speaker Boehner will attempt to pass legislation aimed at a two-step debt-ceiling increase that would cut spending by $917 billion over a decade. On the one hand dealers are of course concerned over the potential for default in the world’s largest economy and the likely loss of a coveted AAA-sovereign debt rating. However, such an event would likely accelerate economic malaise requiring a furtherThu, 28 Jul 2011 16:24:21 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-28.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-20.v02.htmlA rising tide of corporate earnings has lifted investors’ appetite for equities causing a rotation out of conservative government bonds. Advancing stocks and signs that a Gang of Six plan to reduce the nation’s deficit has found bipartisan support has tipped treasury prices over the edge. Hopes that European finance chiefs will review objections to previously mulled plans to aid Europe’s weak spots is also souring demand for core European bonds as yields take a leg higher. Eurodollar futures –Wed, 20 Jul 2011 17:04:58 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-20.v02.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-20.htmlThe dollar weakened ahead of a meeting of European officials later in the week as expectations build for a positive outcome. Greek Prime Minister Papandreou has already coined the outcome as a make-or-break event for the zone although he doesn’t seem to know much more than the rest of us. In the meantime investors continue to flood back into equities, inspired by strong earnings growth adding to pressure on the dollar where an earlier positive mood is falling by the way side. Euro – The euroWed, 20 Jul 2011 14:52:37 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-20.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-19.htmlGovernment bond prices continued to look tired following a stellar multi-week run higher in response to growing fears for the health of the global economy should Europe’s debt crisis worsen. Peripheral bond prices recovered and the single currency advanced propelled by investors chomping at the bit to buy equities following a slew of losses. Short-end interest rate futures edged lower as fears subsided ahead of a critical European summit on Thursday on hopes that someone holds the keys to theTue, 19 Jul 2011 16:56:26 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-19.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-14.htmlU.S. data released Thursday failed to develop the argument that the Fed will ease further, while a successful auction of Italian government debt found buyers albeit at the costliest price in three years. Some of investors’ earlier fears have evaporated as quickly as they built leaving fixed income buyers perhaps a little overweight having spent a week feasting on safe haven bonds. Eurodollar futures – Initial claims dropped to 405,000 through last weekend while the reading from the prior weekThu, 14 Jul 2011 16:24:08 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-14.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-13.htmlHopes for an emergency EU ministerial summit to counter rising fears over contagion from a possible default in Greece toned down concerns about Italy and inspiring a recovery in the region’s currency. Meanwhile investors pushing hard for a rebound in risk looked to Chinese growth figures for reassurance. Stronger second quarter growth in the world’s number two economy tells us little about the future yet offers no solace for Europe’s little problem of debt. Euro – You could refer to Tuesday’sWed, 13 Jul 2011 15:35:58 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-13.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-12.htmlU.S. and German yields erased declines to seven-month lows in trading symptomatic of any market mania worth its salt. The reversal came after European government debt traders grew suspicious that a tight-lipped ECB was busy buying Spanish and Italian paper days before an Italian auction that under currently tumultuous conditions could easily deter regular buyers from being the first to commit their capital. European bond markets – Tuesday trading got off to an ugly start with peripheral bondTue, 12 Jul 2011 16:23:53 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-12.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-11.htmlTwo weekend press articles weighed heavily on the seemingly endless summer drought of positive news for the European economic region causing speculators to push the single currency through its June panic low and towards its weakest since May. The fact that the situation is spreading beyond the desperate hunt for a solution for Greece now has investors honing their attention back to the possibility that more powerful peripheral countries are in danger of default. Having kicked the can down theMon, 11 Jul 2011 14:00:17 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-11.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-08.htmlNot only was employment growth during May half as anemic as earlier thought but June was also equally dismal. The biggest question running repeatedly through my mind is exactly how Thursday's ADP report managed to once again steer everyone in precisely the wrong direction. The official employment report for June was unambiguously bad with private, manufacturing and even government payroll data shockingly ugly. We can take solace in two facts. We can still rely on weekly initial claims data as aFri, 08 Jul 2011 17:40:30 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-08.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-07.htmlThe major catalyst in government bond markets has come not in response to the outcomes of various central bank meetings in Europe, but instead from the United States where a private report showed an unusually robust reading of jobs growth. Government bond yields marched higher but more notably so in the world’s largest economy with dealers now hopeful that the underlying anemic tone to the labor market will suddenly improve in an official government report on Friday. European bond markets – TheThu, 07 Jul 2011 16:35:48 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-07.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-06.htmlGovernment fixed income prices took-off again midweek jet-fuelled by growing concerns over the European debt crisis, with official discussions seemingly running up against roadblocks at every avenue. Bond prices accelerated after a cooler reading of the health of the U.S. service sector, while the demand for safer assets was provided a tailwind following an increase in official Chinese interest rates culminating in a self-evident sell-off in riskier assets. European bond markets – Several plansWed, 06 Jul 2011 17:43:37 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-06.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-05.htmlAfter a sour-end to last week government securities have come in firmer after a vacation-extended long weekend. Equity indices are failing to build on a strong rally last week, which was based on relief over a Greek vote to implement deep austerity measures. Fixed income is higher on Tuesday as yields pull back from a sharp rise. European bond markets – Lingering fears remain among investors with few able to put their fingers on quite what the post-Greek vote problem is. Italian and SpanishTue, 05 Jul 2011 15:00:17 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-07-05.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-30.htmlA healthy bond market rebound gathered pace on Thursday after four days of selling. The demand for the safety of government paper fell by the wayside somewhere outside of Athens after yesterday’s successful parliamentary vote. Dealers attempted to drive yields lower following further dull news from the labor market in the world’s largest economy before a surprise jump in a Chicago-area manufacturing index sent yields into reverse gear and to the highest in a month. Eurodollar futures – AThu, 30 Jun 2011 18:09:52 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-30.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-29.htmlAs word quickly spread of the ‘yes’ vote in Athens investors sold government bonds thinking that the world could soon resume normal trading activity. The slide in bond prices came to a sharp halt, however, as investors mulled the future, which in reality has changed very little. Greece remains heavily indebted and with a mother lode of outstanding commitments that it can’t repay without taking handouts from its neighbors. The price of this helping hand is the decimation of its own economyWed, 29 Jun 2011 16:47:12 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-29.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-28.htmlA peek into the future of the Greek nation has investors today believing that lawmakers will ratify the deep and lasting austerity measures that will also very likely pave the wave for the sale of state-owned assets into overseas hands. Optimism is overflowing in peripheral markets that the vote will see politicians support Mr. Papandreou’s efforts. Dealers are also hopeful that plans to rollover maturing bonds will garner widespread acceptance among French and German creditors. Ratings agentTue, 28 Jun 2011 16:54:24 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-28.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-27.htmlThe worst fears investors may have harbored ahead of the weekend failed to materialize on Monday although there remains a bid to bonds keeping yields low. There is a sense among investors that even if the Greek Parliament manages to pass the €78 billion fiscal austerity package midweek, European leaders will be powerless to prevent the crisis from spreading. And while bond prices have retreated from gains made in to the weekend, the noteworthy action is across several short-ends where investorsMon, 27 Jun 2011 16:23:34 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-27.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-23.htmlThe real challenge with quantitative easing is knowing when the policy is working. By forcing the yield curve lower the central bank provides incentive to lend. If the policy is successful, economic indicators flash green igniting asset prices and causing upwards pressure on the yield curve as investors conclude that monetary conditions must be reversed. When the policy is not working, investors do the Fed’s job for it: Bankers buy bonds for fear of a slowdown and precisely because they see fewThu, 23 Jun 2011 16:23:53 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-23.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-22.htmlGovernment bonds remain higher although off earlier highs as fears remained elevated over Greek Prime Minister Papandreou’s ability to muscle through deep austerity measures. Late on Tuesday lawmakers gave the Prime Minister the vote of confidence he’d asked for but onlookers failed to find solace in the aftermath, recognizing instead that the more difficult task ahead will be convincing Parliament that €78 billion of spending cuts is in the interests of its nation. European bond markets –Wed, 22 Jun 2011 16:24:55 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-22.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-20.htmlA Luxembourg meeting of European financial ministers concluded with the area-chief Jean-Claude Juncker telling reporters that his colleagues “forcefully remind the Greek government to fulfill its commitments.” Concerns grew over sovereign default as investors wondered just how willing the people of Athens might be in putting themselves through the further pain of austerity. European bond markets – After markets closed on Friday Moody’s warned that Italy was perhaps in-line for a downgrade onMon, 20 Jun 2011 14:51:09 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-20.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-16.htmlTension within the Eurozone rose to boiling point on Thursday after German insistence that Greek bondholders must share the burden of failure was countered by comments from an ECB member stating that Europe’s emergency fund should be doubled under such circumstances. The failed negotiations will begin again over the weekend with EU monetary commissioner Olli Rehn saying that his “close contact” with the IMF leaves him assured that Greece will soon receive its next round of aid to the tune ofThu, 16 Jun 2011 16:54:59 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-16.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-15.htmlAn anxious moment along the road to provide Greece with its next rescue payment and a higher than hoped for reading of U.S. inflation held back a rally for bonds. However, should risk aversion continue its rise before the weekend there seems little will stand in the path of a further swoon in yields to their lowest this year as evidence of a growth slowdown continues to show up. Eurodollar futures – September and December Eurodollar futures eased by a couple of basis points seemingly on nearbyWed, 15 Jun 2011 16:18:42 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-15.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-14.v02.htmlBond tumbled sharply following a better-than-forecast reading for retail sales. Earlier data from China also showed a still-bustling economy helping to undermine global slowdown theories. Yields on U.S. benchmarks responded by rising back above 3% as investors deployed cash into riskier asset classes. Eurodollar futures – Longer-dated futures contracts fell by as much as 10 basis points after dealers were pleasantly surprised by a smaller dip in retail sales activity during May. Investors hadTue, 14 Jun 2011 16:21:33 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-14.v02.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-14.htmlDeal news sparked a Monday morning rebound for equities and stole the limelight from the recent surge in bond prices. Yields rose to start a week that delivers key inflation reports as well as a report showing how the consumer is faring in light of high energy and food costs. Meanwhile European tensions drove peripheral bond yields ever-higher ahead of a meeting between leaders with little sign of a stand down from neither German nor ECB officials over an approach to Greece. European bondTue, 14 Jun 2011 05:19:05 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-14.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-10.htmlCredit market participants continue to lower monetary tightening expectations at the end of a week in which further disenchantment surfaced over the health of the global economy. Inflation expectations also moved to a less threatening trajectory helping massage longer-dated yields further downwards. European bond markets – New highs for the September German bund contract as risk aversion resurfaces with flashpoints glowing red across the periphery. Portuguese benchmark government debt pricesFri, 10 Jun 2011 15:38:33 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-10.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-09.htmlProving that “it ain’t what you say, it’s the way that you say it,” the highly anticipated wording at Thursday’s ECB press conference indeed signaled a July rate increase, but a markdown for inflation expectations wrong-footed interest rate traders. The September German bund future screeched higher after the press conference shaving five pips off the benchmark 10-year to 3% and halving the premium above treasuries to five basis points. European bond markets – Jean-Claude Trichet stuck to hisThu, 09 Jun 2011 15:02:59 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-09.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-08.htmlBenchmark bond yields continue to push lower in North America winding up for a challenge once more on the lowest in seven months. In Europe the story is a little different ahead of Thursday’s ECB meeting at which speculation has mounted that the central bank will preannounce a July monetary tightening. A downbeat assessment from a trio of Fed members served up a despondent reminder of the dire image that central bankers have of the state of the economy. Later on Wednesday the Beige Book willWed, 08 Jun 2011 17:42:01 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-08.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-07.htmlGovernment bond prices face a second lackluster day as equity traders mark prices higher and thoughts of challenges to economic growth take a back seat to hopes for a resolution to the European sovereign debt crisis. Yield curves remain relatively static with some light profit-taking providing the greatest impetus on an otherwise quiet day for trading. Eurodollar futures – With no domestic data to remind dealers that the economic outlook is slowing bond prices are failing to push any higherTue, 07 Jun 2011 19:35:19 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-07.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-06.htmlTreasuries are looking tired after repeatedly targeting fresh lows repeatedly for the year, while European debt markets appear to be also limping towards the finish line. Weakness in equity markets has so far failed to inspire bond traders at the start of a rather quiet week. Eurodollar futures – The Eurodollar yield curve steepened a little after shorter-dated implied yields softened while back-end futures rose. September note futures were higher earlier as pre-market stocks suffered ahead ofMon, 06 Jun 2011 16:41:47 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-06.htmlhttp://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-03.htmlIt was in the early fall of 2010 that the Federal Reserve sent out a survey to its primary dealers – those obliged to bid at government debt auctions. The central bank asked, if it was to perform further quantitative easing, how much more should it buy and over what time frame. Following the huge disappointment of the May employment report on Friday, it looks like someone at the Fed might be stuffing envelopes again to get a sense of whether or not a further round of quantitative easing mightFri, 03 Jun 2011 14:03:50 GMThttp://www.fxstreet.com/fundamental/market-view/info@interactivebrokers.com (Interactive Brokers LLC)http://www.fxstreet.com/fundamental/market-view/interest-rate-monitor/2011-06-03.html