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A Little Cheaper In Asia For a Second Straight Day

US TSYS

Early Asia-Pac trade has seen some modest cheapening creep in, with cash Tsys running 2.5-4.5bp cheaper across the curve, bear steepening. Note that this is the second consecutive Asia-Pac session that has witnessed a cheapening impulse on the back of a rally in European/NY hours. We suggested on Friday that this could be a regional play to fade the move, but the fact that participants have been keen to do so again for a second consecutive position may also indicate profit taking from established longs, or a combination of the two. TYU2 last deals -0-03+ at 119-25, 0-01+ off the base of the contract’s early 0-11 range.

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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