Evergrande (& Sinic?)Yellen OpED; FISCAL CLIFF > Taper; supply v demand and FOMC
Good morning. HEREare a few observations in light of weekend developments and yes, the obvious risk OFF impulsive bid for USTs thanks to Ever(not so)grande. You’ll find:
30yy weekly levels, 5s30s curve narrative(s), supply / demand IDEA b/4 20yr auction
CONTAGION: Sinic Holdings Group Co shares nearly wiped OUT in 2hrs b4 trading halted
MSs Wilson’s weekly (equity) start on ‘ice’ scenario **COULD** lead to 20% correction)
Yellen’s WSJ OpEd WARNING (remember 2011)
BBG: THE Taper That Will Really Bite Into US Growth (fiscal cliff visualized just below)
Many Sell Side Observations and FOMC pre-caps and victory laps where all the cool kids focus on DOTS (Barclays, Jefferies, GS, MS, and Nordea to name a few) while even one brave soul addresses Musical Chairs at the Fed: Powell or Brainard? (WFC says JPOW). I’d highlight DB writeup of stealth OpTWISTcurrently being carried out under the radar (DB notes BANKS been buying more longer-dated USTs -- please read as they flesh out some reasoning WHY and are related TO Yellen OpED as well as WFC on the BRAIN)
Have at itand let me know however I can help as you plan your (20yr auction, FOMC) trades and TRADE your (20yr auction, FOMC) plans. Best, Feiss
(Click up and thru today’s update for context TO the coming fiscal cliff (which is > Taper)