Condensed Treasury Supply Well Absorbed

Subdued start to the week, Tsys mildly weaker, holding narrow range near session lows since midmorning, while equities trade mildly weaker to near middle session range. Modest volumes, TYM leads with just over 1M futures, yield curves mixed, 5s30s flatter.

• No relevant data Monday, focus on Tuesday CPI (MoM 0.4% est, 0.5% prior; Ex food & Energy MoM 0.1% est, 0.2% prior). Otherwise, hectic wk for Fed speakers ahead, Fed media blackout starts late Friday evening. Fed Chair Powell scheduled for moderated Q&A at Economic Club of Washington Wed, noon.
• Condensed Treasury coupon auctions: market absorbed $58B 3Y notes and $38B 10Y note reopen, 3s on the screws while 10s tailed slightly (.3bp). Tsy likes to keeps at least one day between the auction date and settlement (April 15 for the 3Y, 10Y and 30Y Bond), while keeping the smallest WI period. Meanwhile, 2s and 5s will also both be auctioned on Mon, April 26, followed by the 2Y FRN and 7Y note auctions on April 27, ahead of the April 30 settlement date due to the FOMC policy announcement falling on April 28.
• Just over $8B swappable corporate supply priced on session, generating soem two-way flow in intermediates.
• By the bell the 2-Yr yield is up 1.4bps at 0.1688%, 5-Yr is up 2.6bps at 0.8886%, 10-Yr is up 1.4bps at 1.6728%, and 30-Yr is up 1.4bps at 2.3434%.