A very dynamic period for long end US interest rates following the Fitch downgrade. Yet, many of the issues have been known and it always takes a catalyst. This past Friday’s employment number changes little for Fed policy short term. The Fed is shifting the dialogue to “how long” and a rationale for lowering rates going forward. This week we get a good test for current yield levels with the US Treasury’s quarterly refunding. In addition, important inflation data on Thursday and Friday, CPI/PPI.

Have a great week!

Listen to Monday Minutes with Gregory Faranello, CFA–Head of U.S. Rates at AmeriVet Securities.