Traders eye U.S. data dump and Fed policy debate

  • Treasury yields dip ahead of important economic data
  • Traders watching for challenges to market consensus on Fed interest rate cuts
  • Fourth-quarter GDP report and jobless claims numbers among key data releases
  • Market pricing in 97.4% probability of no rate change at next Fed meeting
  • Morgan Stanley predicts Fed rate cuts delayed until June

Bond yields fell as traders awaited a slew of important economic data that could impact the Federal Reserve’s policy decisions. The market consensus on interest rate cuts may be challenged as the fourth-quarter GDP report is expected to show a decline in growth. Additionally, jobless claims numbers and other data releases will be closely watched. Despite market expectations of no rate change at the next Fed meeting, Morgan Stanley predicts that rate cuts will be delayed until June. Overall, the Treasury market remains volatile as investors react to economic indicators and upcoming auctions of government bonds.

Public Companies: Santander (BX:TMUBMUSD02Y), Deutsche Bank (BX:TMUBMUSD10Y)
Private Companies:
Key People: Stephen Stanley (Chief U.S. Economist at Santander), Diego Anzoategui (Economics Team at Morgan Stanley)

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Factuality Level: 7
Justification: The article provides information about bond yields and upcoming economic data that may impact the Federal Reserve’s policy debate. It includes quotes from economists and mentions market expectations. However, it does not provide any conflicting viewpoints or alternative perspectives.

Noise Level: 6
Justification: The article provides information on bond yields and upcoming economic data that may impact the Federal Reserve’s policy debate. It includes quotes from economists and market predictions. However, it lacks in-depth analysis, evidence, and actionable insights.

Financial Relevance: Yes
Financial Markets Impacted: The article discusses the yield on Treasury bonds, which is an important indicator for financial markets and investors.

Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article primarily focuses on the yield on Treasury bonds and upcoming economic data, without mentioning any extreme events or significant impacts.

Reported publicly: www.marketwatch.com