A Flat Reopen

A very narrow restart for T-Notes, which last deal +0-00+ at 133-13+.

• To recap, cash Tsys were marginally cheaper on Monday, with benchmark yields across the cash Tsy curve closing 0.5-1.5bp higher. Yields meandered either side of unchanged, with London hours gains more than reversed ahead of the unconventional Treasury supply schedule. Decent enough demand at Monday's "double supply" helped the space away from cheapest levels during NY dealing.
• In terms of auction specifics, 3-Year supply tailed by 0.2bp, with the cover ratio little changed from prev. and vs. the recent average, as dealer takedown nudged higher but held at sub-average levels. 10s stopped through WI by 0.3bp, although the cover ratio ticked lower vs. prev., printing below the recent average as dealer takedown increased, moving closer to its own average.
• The monthly Chinese trade data headlines the broader regional docket during Asia-Pac hours, with U.S. CPI and wage data set to headline the domestic docket on Tuesday. Tuesday will also bring the latest round of 30-Year Tsy supply. Still, most of the short-term focus is being attached to Fed Chair Powell's semi-annual testimony on the Hill and the expected deluge of corporate issuance that may follow this week's Q2 earnings reports.