Summer: Season of Opportunities?

July 24, 2024   |   
Author: Kevin Dribnenki

Fixed Income activity typically slows during summer months, as evidenced by lower bond futures volume. However, the 2024 summer has been more active, offering liquidity provision opportunities. Notable examples include trades in 10-Year (CGB) and 5-Year (CGF) bond futures. Investors can leverage seasonal Canadian statistics, such as employment releases and housing sales, to inform trading strategies. These strategies might involve constructing seasonal swap trades using CGB-CGF or speculating on interest rate policies through Three-Month CORRA Futures (CRA). The slower summer period can present unique opportunities for savvy investors in the Fixed Income market.

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