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Back From Best Levels

US TSYS

TYU2 is +0-07 at 119-15+, 0-05 below session highs. Tsy futures have backed away from best levels as U.S. e-minis and major crude benchmarks have found a bit of a base, at least for now. This comes as the benchmark Chinese equity indices have recouped early session losses of as much as 0.9%, to sit virtually unchanged at writing. We noted that the early market moves were more than likely a function of regional reaction to Friday’s soft ISM m’fing print, as opposed to a reaction to weekend news re: an uptick in Chinese COVID cases, which seems to have been the case given the market dynamics observed since.

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