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Marginally Richer On Tuesday

US TSYS

TYZ3 deals at 109-00+, +0-02, in line with late NY levels.

  • Cash tsys finished 2-4bps richer across the major benchmarks, light bull steepening was apparent.
  • Tsys ticked higher in narrow ranges for the most part on Tuesday as the proximity to the US holiday kept participants on the sidelines.
  • There were few surprises in the FOMC minutes, Fed officials believed that tighter financial conditions could lessen the need for more monetary tightening as they kept rates on hold.
  • Earlier in the session softer than forecast Home Sales added a layer of support to the space.
  • There is a thin docket in Asia today, further out we have Initial Jobless Claims and the UofMich Consumer Sentiment Survey.

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