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Belly Leads the Bid

US TSYS

The major cash Tsy benchmarks run little changed to 2.5bp richer, firming a little in recent trade, with the previously flagged block buy in FV futures aiding the outperformance in the belly. TYZ2 trades at the peak of a narrow 0-05+ range.

  • News flow remains limited, with little market reaction to 2 further COVID-related deaths in China, perhaps with participants a little more familiar with such headlines after the 3 deaths recorded over the weekend (which were confined to elderly individuals, mostly with complex underlying health issues).
  • Broader cross-market moves have represented a modest unwind of Monday’s Tsy curve flattening, USD bid and equity market downtick, with the USD a touch softer and e-minis marginally better bid at typing.
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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