Jackson Hole Is Upon Us

T-Notes flat at the re-open, last dealing -0-02 at 133-17. Comments from U.S. President Biden during the NY-Asia crossover pointed to a want to strike back against ISIS facilities & leaders in the wake of Thursday's attack on Kabul airport, while he stressed a need to push on with the evacuation out of Afghanistan.

• Yields finished little changed to 2.0bp cheaper across the curve on Thursday, with the belly leading the softness. The space moved back from intraday cheaps as the aforementioned attack on Kabul airport left dozens injured/dead (including U.S. military personnel), with equities weakening on the news. T-Notes ultimately finished around the middle of their daily range.
• 7-Year supply saw a 0.4bp tail, although the demand metrics were robust, with the cover ratio ticking above the recent averages and dealer takedown sliding further below the recent averages.
• Thursday's Fedspeak saw regional Fed Presidents Bullard, George and Kaplan mostly underscore their well-trodden, hawkish views. Focus now moves to the release of the Jackson Hole Schedule at (20:00 Eastern/01:00 London) and Fed Chair Powell's Friday address. NY hours will also see the release of the PCE data suite and final UoM sentiment reading for August. A raft of Fedspeak surrounding Jackson Hole fills out the docket.