Little Changed To Start

Cash Tsys sit ~0.5bp cheaper across the curve in early Asia-Pac trade, with little feedthrough from the firmer than expected Japanese CPI data flagged earlier, as it isn’t seen as much of a needle mover when it comes to next week’s BoJ monetary policy meeting. TYM3 coils in the upper end of Thursday’s range, operating in a narrow 0-02 band thus far.

• Fedspeak from Harker (’23 voter) seems to be in line with his recent rounds of rhetoric, as he pointed to a need to move carefully during periods of uncertainty (highlighting that the full extent of the fallout from the well-document banking tumult is still unclear), deeming rates “pretty close to where we need to be.” Harker also suggested that monetary policy lags in the current cycle may be shorter than what has been witnessed in the past.