The Final Stretch Of '20

A muted re-open for T-Notes as December trading gets underway in Asia, last +0-00+ at 138-06 after a tight Monday session.

• Tsy yields finished Monday either side of unchanged, with little in the way of meaningful deviation from prior settlement levels evident across the curve come the bell.
• Markets continued to trade around the cross currents of vaccine positives vs. short-term economic pain, with sizeable month-end extension estimates/Tsy +ve rebalancing flows also in the mix (although the traditional month-end window saw limited price action, perhaps owing the recent holiday interruptions).
• LIBOR matters were front and centre on the back comments from the IBA, as it noted that it could extend the life of 3-month dollar LIBOR by 18 months vs. its prev. anticipated retirement date of 2021. The IBA also noted that the lives of the 6-month and 12-month dollar LIBOR metrics could also be extended.