The surge of more than 20 basis points in the two-year U.S. Treasury yield was down due to a poorly received auction as much as due to confidence that banks have turned a corner. The notes sold at a high yield of more than two basis points above where they had traded before the auction, and demand was the weakest since November 2021.
Treasury’s sale of $43 billion five-year notes on Tuesday and $35 billion of seven-year notes on Wednesday will be worth monitoring.
And crypto shares fell after the Commodity Futures Trading Commission said it had sued crypto exchange Binance and its CEO and founder Changpeng Zhao for operating an “illegal” exchange and a “sham” compliance program.
Bitcoin fell 3.5%, the third time in a week it has lost 3% or more in a single day.
There are no central bank policy decisions on Tuesday, but investors can expect a slew of headlines from central bank officials around the world to hit their screens.
In Asia, Bank of Japan governor Haruhiko Kuroda gives a speech, and finance ministers and central bank governors of the ASEAN nations attend a three-day summit in Bali. European Central Bank and Bank of England chiefs Christine Lagarde and Andrew Bailey head a raft of European policymaker events.
And the Fed’s Barr delivers his “Bank Oversight” testimony to lawmakers.
