Virus:

  • U.S. Vaccination Drive: President Joe Biden says the U.S. will have enough supply of the vaccine by the end of the summer to inoculate 300 million Americans. Biden toured the Viral Pathogenesis Laboratory at the sprawling National Institutes of Health complex just outside Washington that created the COVID-19 shots now manufactured by Moderna. Biden says the U.S. had secured contractual commitments from Moderna and Pfizer to deliver the 600 million doses of vaccine by the end of July — more than a month earlier than initially anticipated, Zeke Miller and Jonathan Lemire report.  AP
  • CDC said severe vaccine reactions are rare -BBG
  • Australia coronavirus – A five-day lockdown for state of Victoria has been confirmed.

.

Markets:

Dovish Fed speak continues. Patrick Harker, President Philadelphia Fed (nonvoter): “I don’t see, right now, inflation running out of control. We will see a little bit of a spike as some months roll off, in terms of the calculation, and other dynamics in the economy.”

House committees have approved $1400 direct checks to families, $15b in airline payroll $66B for testing and vaccination.

10-year JGB’s after a near historical run lower jumped some 16 ticks today with a big range of 34 ticks, I thought BOJ was going to try and loosen Yield curve controls but now we see chatter about further cutting rates. Long end JGBs 30-40 years show yields unchanged. But 5-year s-2 bps,7s -1.5

20 Day Moving average of Put/call ratio lowest this century (Mizuho) stock inflows for week ending Feb10th totaled $58B a record and fed balance sheet increased +.4% to a record per BBg last 20 days almost 28 mln calls on average trade everyday across US exchanges. Buy Calls and Buy stocks!  Gold ETF

 Some weakness in European Stocks Spain and Portugal weighed down European bourses on the cash open   but Stoxx 50 has rebounded along with Dax, Half Stoxx 600 sectors lower on day. Cruse oil looks toppy after 7 straight up days it is moving lower for the second consecutive day. Some bearish demand comments from IEA and opec may be the catalyst for an adjustment lower.  Good news for Italy?? Draghai will be the next PM as  Italy  5 star party will back him 10 year BTP yields down 20 Bps  since Feb 2nd

 Treasuries sideways ,Bunds and Buxl off a touch

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