A Shortened Session To Start The Week

T-Notes tick ever so slightly higher at the re-open but stick to a contained 0-01+ range, to last trade -0-03 vs. settlement at 131-27.

• As a reminder, T-Notes edged back to the middle of their daily range in late Friday trade, with cash markets closing early ahead of the elongated Memorial Day weekend. Do note that there will be a holiday-shortened session in play for futures on Monday, with cash markets closed until Tuesday's Asia-Pac session. Cash Tsys finished little changed to ~1.5bp firmer across the curve come Friday's close, with the 5- to 7-Year sector outperforming.
• A sizable FVU1 block (+16,036) headlined on the flow side, providing some upward momentum in early NY dealing, with the rally continuing ahead of larger than average month-end index rebalancing, before the broader bid in the space faded after the rebalancing.
• On the data front, the Y/Y PCE metrics provided slight beats vs. broader expectations, while the Chicago PMI reading surged to 75.2, comfortably topping expectations, which had pencilled in a slightly slower rate of expansion in May when compared to April's print (72.1).
• Official PMI data out of China headlines the economic docket during Monday's Asia-Pac session, although the aforementioned U.S. holiday, in addition to a holiday in the UK, will limit broader liquidity during the first trading session of the week.