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Light Twist Steepening To Start

US TSYS

Asia-Pac participants have started by lightly fading Tuesday’s twist flattening, with light twist steepening seen across the major cash Tsy benchmarks, which run 0.5bp richer to 1bp cheaper, pivoting around 5s, as the space continues to operate within touching distance of late NY levels. TYZ2 deals -0-00+ at 110-18, operating within a narrow 0-03 range thus far.

  • The latest North Korean missile launch hasn’t created any meaningful market reaction, given the increased frequency of such events and suggestions that the missile has already landed in the water outside of Japan’s EEZ.
  • Participants are squarely focused on Wednesday’s tier 1 risk events, namely the latest FOMC monetary policy decision and quarterly Tsy refunding announcement.
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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