Marginally Richer In Asia, Regional Matters Dominate

TYH3 deals at 111-03+, -0-01+, in the middle an 0-08 range on elevated volume of ~183K.

• Cash Tsys sit 1-2bps richer across the major benchmarks.
• Weakness in JGBs weighed on Tsys in early dealing, TY futures briefly looked below Tuesday's low.
• Spillover from ACGBs in lieu of Australian Q4 wage data aided a recovery from session cheaps in Tsys.
• Tsys were able to marginally extend gains post the RBNZ rate decision, as there was a lack of hawkish surprise in the post-meeting statement and press conference, with unscheduled BoJ Rinban operations also adding support at the margins.
• The richening largely held although Tsys did tick away from best levels.
• In Europe today we have regional and national CPI from Germany. Further out, minutes of the February FOMC meeting headline today’s NY docket. We also have the latest round of 5-Year Tsy supply.