Bond rally nearing an end?
- Thread starter gharghur2
- Start date
Well someone definitely knew it was coming, evidenced by the spike up 10 seconds before the #. should have got long yesterday 
Liquidated long position that was established in the middle of May.
It was a very small profit indeed and I liquidated because of concerns about what is going on in other markets. The dollar is reacting very negatively to signs of slower growth and has failed to stay above 85 (US Dollar Index). Oil is not going down unless the stock market dives, which in turn makes the dollar go down.
Very shaky grounds for long term bonds.
Very shaky grounds for long term bonds.
The rally about two minutes before the number was Bear Stearns puking up his long Sep 104 puts in the 10yr from earlier in the week. He sold close to 13,000 between the pit and the screen about 2 minutes before the number and another 7,000 or so after. Funny, he sold the puts at 29 on the screen before the number when they were 30 bid in the pit. I guess London brokers don't care about fill price as long as they get double brokerage on the screen (whole different story, sorry). About a 30 delta, thus option locals had to get their hedge off and buy close to 5000 futures, no liquidity on the screen for that size before NFP. Obviously the guy selling out his long puts knew something.