Off Post-U.S. CPI Bests

Bunds also take their post-U.S. data lead from Tsys, as you would expect, firming to fresh session highs before fading to leave the contract +50 or so, 30 off best levels (briefly breaching yesterday’s high but failing to get anywhere near a challenge of more meaningful resistance). 5s continue to outperform on the wider cash curve, with benchmarks running 1.5-6.5bp richer. ECB-dated OIS pricing softens post data, outside of this month’s meeting, which is sticky given ECB guidance, showing 23-24bp of tightening. Further out, the liquid contracts are little changed to 4bp lower on the day 1-4bp off post-data dovish extremes.