Risk appetite is back with a bang...>

US TSYS SUMMARY: Risk appetite is back with a bang after the holiday weekend,

with the cash Tsys curve bear steepening and stock futs at multimonth highs.

- The 2-Yr yield is up 1.4bps at 0.1819%, 5-Yr is up 2.6bps at 0.359%, 10-Yr is

up 3.3bps at 0.6916%, and 30-Yr is up 3.6bps at 1.4063%.

- Jun 10-Yr futures (TY) down 8/32 at 138-29 (L: 138-26 / H: 139-08).

- S&P Emini futs peeking above the 3,000 parapet, up 1.8%. Not much in the way

of identifiable catalysts; market focus continues to be on continued removal of

Covid-19 lockdowns (and largely ignoring China-HK rumblings).

- Thin on the data front, with 1000ET seeing Apr New Home Sales and May Conf

Board Consumer Confidence. 

- Minn Fed's Kashkari speaks on a panel(with Larry Summers + others) at 1300ET.

- 1300ET sees $44B 2Y Note sale. NYFed buys $5bln avg daily this week, beginning

with Tsy and TIPS today for ~$4B.

- Most notable trade overnight was via blocks, to the downside: TYQ0

137.50/136.50 put spread bought for 12 in 10k (59d). Otherwise most activity is

on the futures roll front, with first notice looming on the 29th.