Curve Marginally Flatter In Muted Asian Session

TYM3 deals at 114-13+, -0-02, with a 0-04 range observed on volume of ~82k.

• Cash tsys sit 1bp cheaper to 1bp richer across the major benchmarks. The curve has twist flattened pivoting on 30s.
• Tsys were a touch cheaper in early dealing, weakness in ACGBs spilled over into the wider space as yesterday's post-RBA minutes cheapening consolidated.
• US Equity futures and regional equities were pressured facilitating a recovery from session lows in Tsys.
• Little meaningful macro newsflow crossed in the session. Ranges were narrow with little follow through on moves in tsys.
• FOMC dated OIS price a ~22bp hike into the May meeting, the terminal rate is now seen at 5.10% in June. There are ~60bps of cuts priced for 2023.
• In Europe we have UK CPI and the final print of Eurozone inflation. Further out the Fed Beige Book will cross. We also have the latest 20-Year Supply.