Already looking ahead to the Fed

After an Asian session with little liquidity (with much of the region on holiday), cash yields are a bit higher this morning, although futures are only marginally changed.

• Today has a pretty light calendar with the market already starting to look ahead to Wednesday's FOMC meeting.
• ECB's Schabel and BOE's Bailey are both due to speak later (on climate and at a Corporate Treasury event respectively). This morning, Lagarde gave an interview to Politico, although there was little new compared to her comments at the press conference last week.
• The main news of the morning has been the confirmation that NGEU funding will begin tomorrow via syndication with a 10-year bond on offer.
• Later today we should also get confirmation that the next stage of the UK's lockdown easing plan has been delayed by four weeks from 21 June to Monday 19 July. The details will be watched to see if there are any compromises, such as lifting numbers allowed at weddings or sporting events.
• TY1 futures are unch today at 132-27 with 10y UST yields up 0.8bp at 1.461% and 2y yields up 0.2bp at 0.150%.
• Bund futures are up 0.02 today at 172.90 with 10y Bund yields up 0.3bp at -0.271% and Schatz yields unch at -0.687%.
• Gilt futures are down -0.03 today at 128.12 with 10y yields up 0.6bp at 0.713% and 2y yields up 0.6bp at 0.054%.