July 14.
July 14. In this environment EDU10/EDZ10 settling at 7 bps is simply too low. I would further say that EOH 9850 straddle is too low at 65.
–Curve steepened a bit with 2/10 up 4 bps to 245. The most interesting thing I see in the market is that an onslaught of bond supply and a surging stock market based on rosy earnings is creating only a small concession in the price of ten year notes. If the stock market is cheap then why would anyone accept yields of just over 3% in ten year notes.
–Retail Sales expected -0.2%. 30 year auction. FOMC minutes.
