Anyone trade Eurodollars during European hours?

US Treasury Bonds, Futures, and Proxy ETFs (TLT, TBT...)

Anyone trade Eurodollars during European hours?

Postby SDspreads » Sun May 24, 2009 6:21 pm

I trade treasury spreads during the night and just wanted to connect with anyone trading Eurodollars. Wanted to know if anyone had any Eurodollar market insight and trade thoughts/information.
Thanks
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Re: Anyone trade Eurodollars during European hours?

Postby Martinghoul » Tue May 26, 2009 10:01 am

What sort of insight could you possibly be looking for? I personally don't see much to do in Eurodollars these days...
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Re: Anyone trade Eurodollars during European hours?

Postby vol-trader » Tue May 26, 2009 2:58 pm

buy the reds and ride them in? i don't see the fed going anywhere.
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Re: Anyone trade Eurodollars during European hours?

Postby SDspreads » Tue May 26, 2009 4:31 pm

Just trying to figure out when/what is going to be catalyst that causes the long eurodollars/short 10 years trade to unwind. That spread has been on a rampage the past couple of weeks. If libor starts rising and the Fed decides it needs to buy more longer dated maturities then the trade could reverse and take a new direction. Just wanted to see if anyone had any other thoughts.
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Re: Anyone trade Eurodollars during European hours?

Postby vol-trader » Tue May 26, 2009 10:23 pm

i think libor is going to quiet down. the 40 bp move over the past month was pretty crazy. now that spread will be function of the 10 year note only, IMO.
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Re: Anyone trade Eurodollars during European hours?

Postby Martinghoul » Wed May 27, 2009 4:55 am

I like to be long the greens, actually, but I think you can do that trade better in short sterling. But that's just 'cause I don't buy the green shoots (funnily enough, a Fed research director said Fed might have to keep rates at 0 'for years' yest)...

As to 10y asset swap, I honestly don't see any way for it to go but down, with the staggering amounts of supply we have to absorb here. Mark my words, USTs are going to LIBOR+...
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