Good Morning
Fixed Income markets are slightly firmer after a modest softening in the crude complex. USTs into the green by 3 ticks at 106-06+ with a narrow 106-01 to 106-09 range and with SFRZ6 up 0.50bp at 95.805 and a 95.80 to 95.815 range we are still pricing in 31bp of additional tightening with only a 9% chance that they hike tomorrow so leaning towards a resumption of hikes in the December meeting, so our entire day is mainly counting down to the FOMC on Wednesday. That aside, the Israeli election is of potential note, in case it results in an approach-change to the Middle East conflict but the outward face of the Knesset, the Israeli parliament, looks unlikely to change.
On the docket today (CT):
7:30 AM Durable Goods Sep –
8:00 AM S&P Cotality Case-Shiller Home Px Index Aug. –
9:00 AM New Home Sales Sep
9:00 AM Conference Bd – Consumer Confidence Oct.
U.S. Federal Open Market Committee two-day meeting begins
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