Futures Well Bid

TYM2 added over 1 full point at the re-open on the back of the western sanctions on Russia that we have outlined elsewhere (partial blockage of Russian access to the SWIFT payment system and moves to limit the central bank re: the deployment of FX reserves), in addition to news that the EU is collectively moving to armour Ukraine and close off Russian access to its airspace, while Russian President Putin raised the alert level of the country’s nuclear deterrence to high. The contract has traded as high as 127-12+, before backing off to deal +0-31+ at 127-05 last.

• You would imagine that geopolitics will be in the driving seat for most of today’s session. Looking ahead to the NY docket, we will see the release of the MNI Chicago PMI, inventories data, the Dallas Fed manufacturing activity print and advance goods trade data. We will also hear from Fed’s Bostic (’24 voter).