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Light Cheapening Kicks In

US TSYS

Tsys now trade on the defensive, perhaps aided by the bear steepening observed on the JGB curve, with a lack of meaningful headline flow observed thus far. That leaves the major cash Tsy benchmarks running 0.5-1.5bp cheaper, with the belly leading the weakness. Meanwhile TYM3 futures sit -0-02, at 110-30, which represents the base of the contract’s 0-04 session range. Initial support is seen at Wednesday’s low of 110-29, which is now within touching distance.

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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