Morning, Traders!
It is Tuesday the 14th of March, the release of the much anticipated US inflation print, which may provide further clues ahead for the Federal Reserve's tightening cycle, at the start of the FOMC blackout period.
Here are some views on what to expect.
Sentiment
This morning, Treasuries decline amid erratic movements, while the dollar rises as money markets bolster Fed's tightening bets ahead of February's US inflation data.
US two-year rates undergo a significant roundtrip, first rising to 4.19%, then falling to 3.82%, and finally rising once more to 4.27%.
The discovery of "material vulnerabilities" in Credit Suisse Group AG's reporting practices rekindled anxiety following the bankruptcies of US banks.
In response to the simultaneous failure of three smaller institutions, the largest US banks are experiencing a surge in deposits. As the president's new chief economic adviser, Lael Brainard must assist in containing the SVB problem that she foresaw while serving as a US Fed governor.
Docket
8:30 AM ET
US CPI Data for February
YoY - Median Forecast: 6% | Prior: 6.4% | Range: 6.3% / 5.8%
MoM - Median Forecast: 0.4% | Prior: 0.5% | Range: 0.5% / 0.2%
Core YoY - Median Forecast: 5.5% | Prior: 5.6% | Range: 5.6% / 5.3%
Core MoM - Median Forecast: 0.4% | Prior: 0.4% | Range: 0.5% / 0.3%
Good luck!