FED: Warsh: I Will Lead A Reform-Oriented Fed

Tsy futures mildly weaker for the most part, flatter curves with long end outperforming (TYM6 -1 at 111-08.5) ahead of the $13B 20Y bond auction re-open (912810UT3) at 1300ET, WI is currently at 4.879%, 6.2bp cheap to last month's stop.

• March auction recap: Treasury futures held firm (TYM6 +6.5 at 112-03) after the $13B 20Y Bond auction re-open (912810UT3) stopped through: drawing a high yield of 4.817% vs 4.825% WI at the cutoff; 2.76x bid-to-cover vs. 2.36x prior (lowest since Nov 2024).
• Peripheral stats: indirect take-up rebounded to 69.18% vs. 55.17% prior (lowest since Feb 2021); direct bidder take-up retrated to 21.58% from 27.24% prior; primary dealer take-up fell back to 9.24% vs. 17.59% prior.

• IWH vice-president speaks to MNI about German economy and ECB monetary policy -- On MNI Policy MainWire now, for more details please contact sales@marketnews.com

• US equity indexes held near midday highs Wednesday, buoyed by strong earnings (Boeing +4.65% after beating estimates and providing strong guidance) as well as a cooling in geopolitical risk after Pres Trump extended a ceasefire period with Iran late Tuesday for another 3-5 days (crude still gaining, however, amid fading hopes over a swift Hormuz Strait reopening).
• The tech-heavy Nasdaq outperformed ahead midday, gaining 1.3%, the DJIA +0.65%, SPX emini +0.80%.
• Information Technology sector outperformed the Energy sector for once: Micron +5.9% (urged lawmakers to curb chip tool sales, putting a limit on Chinese rivals), while AMD +4.15% on renewed AI demand. Elsewhere, the following gained 3.5-3.7%: Palantir Technologies, Teledyne Technologies, Oracle, Sandisk Corp and Broadcom.
• The Energy sector was buoyed by: SLB Ltd, Halliburton, Baker Hughes and EQT Corp, all gaining from 3-3.5%.
• Industrials and Financials sector underperformed, TEL -12% despite beating earnings expectations, analysts wary of maintaining future sales. Financials weighed by insurers: American International Group, Prudential Financial and Aon -2.5-3.5%.
• Expected earnings releases after the close include: Tesla, Hexcel, Rollins, Lam Research, Molina Healthcare, CSX Corp, Southwest Airlines, Las Vegas Sands, IBM, United Rentals, Crown Castle, Kinder Morgan and Texas Instruments.