Early Downside Impetus Stymied By Chinese GDP

A lack of fresh macro headline flow and the weaker than expected Chinese GDP reading has limited the downside impetus that was witnessed in Tsys during early Asia-Pac trade (which was largely driven by the aforementioned uptick in e-minis, as they unwound some of Friday's late option expiry related losses). Contract last -0-04+ at 138-29+, while cash Tsys sit 0.6-1.5bp cheaper across the curve, bear steepening.

• With the ongoing fiscal impasse still evident in DC, House Speaker Pelosi administered a 48-hour deadline re: getting a fiscal support pact done pre-election, this comes due on Tuesday. Meanwhile, Senate Republicans will table a piecemeal support package. Elsewhere, the weekend saw an FT piece do the rounds, in which senior Federal Reserve officials, namely regional Presidents Rosengren & Kashkari, call for tougher financial regulation to prevent the US central bank's low interest-rate policies from giving rise to excessive risk-taking and asset bubbles.
• Eurodollar futures sit unchanged to -1.0 through the reds. Overnight flow saw some steepener interest in the EDU2/U4 spread.
• A raft of Fedspeak headlines the local docket today.