by Mike ‘Mish’ Shedlock
Mish Talk
The volatility on FOMC days can be quite amazing even on days when the Fed does nothing unexpected nor says anything unexpected. Here is a case in point in regards to US Treasury Bonds.
[…] On the 30-Year bond there are 32 ticks in a point and each tick is worth $31.25 as per the following table.
[…] Comments
In five minutes, for no apparent reason (other than to run the stops in both directions), futures swung 28 ticks. On a single future that is a swing of $875.
Anyone with a buy or sell stop in that range, got stopped out (or forced in).
This action is quite typical, and arguably mild.