Federal Reserve Weekly SOMA Update
Long-term the 10YR yield is going higher as Washington D.C. is incapable of getting its fiscal house in order, not to mention a permanently dovish Fed. Short-term may be a different story as I don’t believe the Government jobs reports. The data points I see suggest employment levels are heading lower. In the Software sector headcount has been trending lower and I expect this trend to continue.
Treasuries: The Fed’s Treasury holdings declined by $2.3 billion for the week-ended April 30th. The Fed’s Treasury holdings declined by $2.8 billion on a rolling 4-week basis.
Agencies: The Fed’s Government Agency security holdings declined by $12.5 billion for the week-ended April 30th. The Fed’s Government Agency holdings declined by $16.1 billion on a rolling 4-week basis.
The Fed’s balance sheet holdings: https://www.newyorkfed.org/markets/soma-holdings
Excel file: Our Excel file detailing the Fed’s holdings of Treasury and Agency securities over time: HERE.
See T2D earnings call summaries, long-form reports, and more: HERE
View real-time Tech sentiment at T2D Pulse (we recently incorporated issuer-level market data into our sentiment scores): HERE