Yield Curve Spikes As Trump Unveils Infrastructure Plan

Treasuries are seeing one of the biggest curve steepenings of the year following news that President Trump plans to keep pushing his legislative agenda in 2018 by releasing his long-promised infrastructure plan in early January, a senior administration official said.


As Bloomberg reports, Trump promised during his campaign to introduce a $1 trillion proposal within his first 100 days in office, then the administration said there’d be a plan by the third quarter. That didn’t happen after the failed attempt to overhaul health care and the ongoing tax effort.

The president aims to release his proposal to upgrade roads, bridges, airports and other public works before the Jan. 30 State of the Union address, said the administration official, who spoke on condition of anonymity because the details aren’t public.


Naysayers should wait until they see the details and how the legislative process unfolds, the official said.

Infrastructure advocates question whether a Republican-led Congress will be able to pass a spending plan with enough federal funding if it’s already approved a tax measure that official estimates say would bloat the budget deficit.

Some say the administration missed its best opportunity to deliver a meaningful public works initiative by not incorporating it into the tax bill, which is nearing approval.


“If they’d taken up infrastructure, we’d have a bill today and have the money to fund it,” said Ray LaHood, a Republican and former U.S. transportation secretary under President Barack Obama.


“Nothing happened this year, so the prospects of anything happening next year I think are pretty slim,” said LaHood, who is a co-chairman of Building America’s Future, a bipartisan coalition that promotes infrastructure.

In addition to the spike the long-end treasury yields, building materials stocks gained on the news. Martin Marietta jumped 5.1 percent, a session high, and was up 4.4 percent to $210.32 at 2:23 p.m. in New York. Vulcan Materials Co. climbed 3 percent to $124.78. Eagle Materials Inc. rose 1.9 percent to $113.79.


bruceme Thu, 12/07/2017 - 15:02 Permalink

Pardon my stupid question is this what the guys at Shepwave were referring to on here the other day.  Sometimes you are all over my head but at least I get the trading positions to make the money.  

MonetaryApostate Peacefulwarrior Thu, 12/07/2017 - 15:53 Permalink

Wtf ever, just look at your fake money & do the damn math on the serial number, please wake the flock up!  Keep in mind a series of it is printed each time a year is find on the money, meaning the total of the serial #, & any  letter = x26 the sum of serial numbers is printed each year found on any of the notes for that denomination!Everything will change once everyone realizes they have been printing & loaning hundreds of quadrillions to steal everything...Fake money, fake debt, fake value, fake news, fake investments, fakes markets, fake history, fake everything!  https://plus.google.com/collection/QorNbB

In reply to by Peacefulwarrior

gn28 bruceme Thu, 12/07/2017 - 15:14 Permalink

buy away... most cryptos will get wiped and 1, maybe 2 will be left when the IMF will call it quitz on the major currencies and they'll all flit to full digital backed by gold... cause that's how they wiped debt each time, by reevaluating gold... and this time they can take it one further and force 99% of people on full digital... cause then you can just boost taxes overnight to force them to spend... when they see digital values dropping out of their digital wallet each day... there's only one metal for money... and plenty of currencies made up out of thin airWAKE UP !

In reply to by bruceme

totenkopf88 Thu, 12/07/2017 - 15:11 Permalink

Didn't Obama try this massive infrastructure thing that failed to ignite any meaningful economic growth and just added hundreds of billions in dbet?

MuffDiver69 Thu, 12/07/2017 - 15:45 Permalink

Cut a deal on repatriation of some overseas money and put it into bonds...Call it the American Reinvestment Bond or some horseshit and guarantee a decent return...

Davidduke2000 Thu, 12/07/2017 - 20:34 Permalink

trump should leave a space between the 2 border walls, that's where all the joos will go once they lose their country. it was written the cocksuckers will roam the earth for a homeland.