Futures Little Changed, Markets Await US CPI

TYH4 is trading at 111-28+, 0-00+ from NY closing levels.

• This comes after US tsys remained relatively steady, ranging from flat to 2bps cheaper, contributing to a steeper yield curve. The US tsy 10-year closed 2bps higher at 4.03%, sustaining the recent trend of closures above the 4% mark.
• There was limited US data overnight, with MBA mortgage applications bouncing a seasonally adjusted 9.9% in the week to Jan 5, falling -10.7% in the prior, holiday-distorted week. Wholesale inventories were in line with expectations at -0.2%, while wholesale trade was lower than expected at 0.0% vs. 0.4%.
• Rates and equities dipped late after NY Fed President John Williams said he expects the central bank to keep a restrictive stance for some time and to begin rate cuts only when confident inflation is moving toward 2% on a sustained basis, also noting a slowing of QT does not seem to be close.
• Markets await US CPI/PPI later today and Friday.