February 21, 2023 02:08 GMT
Core Global FI Bounces From Lows After Cross-Market-Driven Shunt Lower
BONDS
Core global FI markets retrace from session cheaps, although hold cheaper on the session. This underscores the cross-market flow-driven nature of the move that we flagged earlier, with NZGBs seemingly the predominant driver in early Asia-Pac dealing (the weakness in NZGBs is the stickiest, with the front end of that curve holding around session cheaps at typing).
- Cross-asset, the DXY is off best levels alongside U.S. Tsy yields, with e-minis off lows, while mainland Chinese stocks are a touch higher on the day, led by property developer names after China revealed a pilot scheme for real estate PE investment on Monday (the latest leg of policy support for the struggling property sector).
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