Off Lows

Tsys firm away from session lows alongside wider global core FI markets, with TYM4 last -0-04 at 110-29 (110-24+-111-01 range).

• The contract has moved away from Friday’s high (111-02).
• Next resistance comes in at the 50-day EMA (111-06+), while support is seen at the Feb 23 low (109-25+).
• Tsy yields are ~1.5bp higher across the curve.
• Fed discussions continue to dominate.
• Regional bank worry also remains evident after NYCB’s latest troubles.
• Fitch affirmed the U.S. at AA+; Outlook Stable late on Friday.
• Fedspeak from Harker is due today, although that may not be a market mover giving impending risk events (comments from Fed Chair Powell, NFPs/labour market data and ISM services due later in the week).
• The NY calendar is pretty empty outside of Harker’s scheduled remarks and bill supply.