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Remaining Under Pressure

US TSYS

The previously alluded to upside momentum in equities (although that has faltered a little) and feedthrough from EGB & Gilt cheapening has kept Tsys on the defensive, with TYM3 last showing 0-02 off the base of its 0-11 range, through yesterday’s lows. Meanwhile, cash Tsys sit 1.0-2.5bp cheaper, with the 7- to 10-Year zone still leading the weakness. Only 2s and 30s have failed to breach their Wednesday highs in yield terms, although broader follow through has been limited on that front.

  • Some selling of the FVN3 109.00 puts and lifts of the FVN3 112.00 calls (with clips of around 5K going through in both) have provided the highlights on the flow side since London dealing got underway.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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