OXI
October 28, 2025
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–Bloomberg headline: Goldman CEO Solomon Sees No ‘Systemic Crisis’ in Credit Markets.
–Remove the ‘no’ and put it to better use today.
–Jensen Huang to give address to GTC (GPU Tech Conference) today at noon EST. This is the biggest earnings week: MSFT, META, GOOGL on Wednesday. AAPL and AMZN Thursday.
–7 yr auction
–Trade mentioned over weekend bought for 0.5 another 20k: +0QZ5 9706.25c 9.5s vs SFRZ6 9700.5 / -2QZ5 9693.25c 9.25s vs SFRZ7 9690
–More buys SFRZ5 9650/9662.5cs 1.0. Z5 9650c now have 929k in open interest (+57k) vs Z5 futures 1.445m. Z5 settled 9636.5, down 1.5 on the day. Rates overall little changed with flatter bias as 2s and 5s were auctioned. 7s today. Ten year yield slipped back under 4% (3.995, -0.6 bp). 2/10 slight new low, at bottom end of range. Since start of August range has been tight 48 to 60. Since mid-April pretty much 45 to a little over 60. Treasury vol continues to compress to new lows. With 60 days until expiration TYF6 113.5^ settled 1’46, just 4.7 implied vol.
