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Block Flow Helped The Latest Cheapening Leg, No Headlines Seen

US TSYS

The previously flagged block sales in Tsy futures (-3.0K & -1.9K) definitely helped the already noted weakness in Tsys, which came alongside softness in e-minis and a bid in the USD.

  • The move in Tsys accelerated on TY futures breaking through 111-00, aided by the recently recorded block sales, although yesterday’s low of 110-22+ hasn’t yet been challenged.
  • TYZ2 last deals -0-04+ at 110-28, 0-02 off the base of its 0-10 session range. Cash Tsys run 2.0-10.5bp cheaper across the curve, bear steepening, with 10-Year Tsy yields hovering a touch below 4.00 (3.98% last).
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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