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Headline Flow Light, Core FI Hold Tight Ranges

BOND SUMMARY

T-Notes have softened a tad and last trades -0-02 at 138-02, with e-minis hovering above neutral levels at typing. Cash Tsy curve has bear steepened, yields sit 0.4-1.2bp higher. Eurodollar futures trade +0.25 to -0.50 tick through the reds. Macro headline flow has been sparse, with markets awaiting the outcome of Georgia runoff elections slated for Tuesday.

  • JGB futures have ticked higher and last trades at 151.99, 11 ticks above last settlement, after having a brief look above yesterday's range. Cash JGB yields sit slightly shy of neutral levels. The BoJ decreased the size of its 1-3 Year JGB purchases to Y450bn from Y500bn, while leaving 3-10 Year purchase sizes unch.
  • In Australia, YM sits +0.5 & XM +3.5, off earlier highs. ACGB curve runs flatter, yields last seen +0.1bp to -3.5bp. Bills trade -1 to 1 tick through the reds, with most contracts unch. at typing. ANZ job ads rose 9.2% M/M in Dec after a 13.5% increase in Nov.

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