Month-End, Soft E-Minis & Risk Events Eyed

T-Notes operated in a 0-05+ range, last +0-04+ at 138-17+, with yields across the cash curve unchanged to 1.7bp richer, as the curve bull flattens. Little to note on the headline front in Asia-Pac hours, with the space drawing support from the dip in e-minis, which came on the back of big tech earnings, allowing Tsys to move away from their respective Thursday lows. Eurodollar futures sit unchanged to +1.0 through the reds, with a ~20K sale of EDU1 triggering a burst activity across the front end of the strip in Asia-Pac hours.

• JGBs were offered in Tokyo, owing to the New York impetus in U.S. Tsys, with futures last -8 vs. settlement, hugging a tight range. Yields across the curve generally cheapened at the margins, excl. 2s. The latest round of BoJ Rinban operations saw the purchase sizes of the buckets covering 1-10 Year paper left as was, with offer/cover ratios as follows: 1-3 Year: 2.75x (prev. 1.56x), 3-5 Year: 3.23x (prev. 3.48x), 5-10 Year: 2.66x (prev. 3.17x).
• Aussie bonds have looked through ACGB supply matters and in line with exp. local private sector credit release, with focus well and truly on next week's headline risk events, namely the RBA decision and U.S. election. Curve holds steeper, YM unch., XM -1.5, with the cash space twist steepening vs. settlement. Swaps are generally wider vs. ACGBs. Larger than usual ACGB month-end extensions & the proximity to the RBA decision may be cushioning the long end, promoting some outperformance vs. Tsys since yesterday's Sydney close.