Flat To Marginally Cheaper, Powell Eyed

Cash Tsys run flat to 1bp cheaper, with the curve steepening a touch.

• TYU3 is through yesterday’s low, last -0-03+, a little off worst levels and well within the range of recent sessions.
• Volume in the contract is artificially boosted by roll activity, running at ~238K at present (~162K of that is rolls).
• Cross-asset, the USD is lower while e-minis are back towards their Thursday low.
• Macro headline flow has centred on Chinese policy support for the troubled property market, although knee-jerk risk-positive moves were quickly unwound as the measures were in line with general expectations/had been touted previously.
• Fed Chair Powell’s Jackson Hole address presents the key risk event for markets today.
• Final UoM sentiment data and regional activity data from the Kansas City Fed will also cross, as will a raft of additional Fedspeak from Jackson Hole.