Free Trial

Marginally Richer In Asia, FOMC In View

US TSYS

TYU3 deals at 112-29, +0-07+, a 0-07 range has been observed on volume of ~76k.

  • Cash tsys sit 1-2bps richer across the major benchmarks, light bull steepening is apparent.
  • Tsys firmed in early dealing, there was no obvious headline driver. Asia-Pac participants perhaps used Tuesday's cheapening as an opportunity to exit short positions/enter fresh longs.
  • The moderate richening held through the remainder of the session. Narrow ranges were observed and little meaningful macro headline flow crossed. The proximity to today's FOMC meeting perhaps limiting activity.
  • FOMC dated OIS remained stable, pricing no change for today's meeting with a terminal rate of 5.25% in July. There are ~10bps of cuts in 2023.
  • May PPI crosses before the FOMC rate decision is due. The MNI preview of the event is here.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.