30s Fail At 2.00%

A light bid in T-Notes at the re-open after the contract faded from best levels in the second half of NY trade, last -0-01 at 136-21.

• 30-Year yields failed to make a clean break through the 2.00% level on Monday, despite a brief and limited show above in early European hours, with the rebound resulting in some twist flattening of the curve, as 30s richened by ~2.0bp on the day come the bell. Several desks pointed to steepener unwinds as a driving factor on the aforementioned failure at 2.00% for 30s, with the 5-/30-Year spread retracing back below 150bp after registering fresh multi-year steeps.
• There is nothing in the way of headline tier 1 risk slated for Asia-Pac hours, with participants already looking to this week's coupon Tsy supply schedule, which kicks off with 3-Year issuance on Tuesday.