Daily macro and market structure analysis—covering liquidity, options and gamma exposure, dealer positioning, and volatility—to help investors navigate price action across asset classes.
at the moment TGA went up to 971B from 926B, SOFR dropped from 3.75 to 3.67. seems there other factors impact liquidity in addition to the treasury issurances & TGA
you meant those GSE cash injection is temporary, so you still believe the liquidity will be a bit tight in this TGA refill phase, is my understanding correct?
at the moment TGA went up to 971B from 926B, SOFR dropped from 3.75 to 3.67. seems there other factors impact liquidity in addition to the treasury issurances & TGA
yes settlements, and right now gse cash is in the market
does this mean you would change your thesis about liquidity tightening in the near future?
No, GSE cash comes into the market every month at the same time.
you meant those GSE cash injection is temporary, so you still believe the liquidity will be a bit tight in this TGA refill phase, is my understanding correct?
I answered already. Yes, I think liquidity will be tight. Overnight fundings rates are one part the equation.
when?
I have whole pieces of content dedicated to this stuff. https://www.navigatingthemarket.com/p/how-liquidity-flows-actually-move
seems its 15,25 and then settlement date. correct me if i was wrong
i don't know what you are referring too