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Marginally Richer In Asia

US TSYS

TYH3 deals at 112-14, +0-03+, a touch off the top of its 0-05 range on volume of ~70k.

  • Cash Tsys sit flat to 1bp richer across the major benchmarks.
  • Tsys opened Wednesday cheaper as Asia-Pac participants focused on yesterday's CPI numbers and hawkish Fedspeak from Dallas Fed President Logan in early regional trade.
  • A recovery off session lows was facilitated by a move in ACGBs as Governor Lowe didn't deliver any fresh hawkish messaging at a Senate appearance.
  • The modest richening move then held through the session, with a couple of block buys in TU futures helping underpin the move, alongside weakness in e-minis and the major regional equity indices.
  • Little meaningful macro headline flow was observed.
  • In Europe today we have CPI/RPI from the UK, further out there is Empire Manufacturing and Retail Sales. We also have the latest 20-Year Tsy Supply.

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