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Narrow Ranges In Asia

US TSYS

TYU3 deals at 112-05, -0-02+, a 0-05 range has been observed on volume of ~43k.

  • Cash tsys sit ~1bp cheaper across the major benchmarks.
  • Tsys have observed narrow ranges in Asia with little follow through on moves.
  • During today's Asian session little meaningful macro newsflow has crossed.
  • With Wednesday's FOMC rate decision in view, FOMC dated OIS remain stable. A 25bp hike is priced into the meeting with a terminal rate of 5.40% seen in November. There is are ~60bps of cuts seen by June 2024.
  • On the wires today we have S&P Global Mfg and Services PMI, the latest 2-Year Supply is also due.

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