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Still Coiling, Fiscal Headlines Dominate

US TSYS

Early Asia-Pac trade sees some spill over from the late NY talk of U.S. President Trump being willing to pursue a broader stimulus package, with White House Director of Strategic Communications Farah confirming that the President is willing to enact something more than a skinny Bill in lieu of various source reports suggesting as much. This pushed T-Notes closer to the bottom end of their tight Thursday range in early Asia-Pac range, before edging back up within a 0-03 range, last -0-02+ at 138-27.

  • Yields were ultimately little changed on the day on Thursday, on the back of the late fiscal headlines. Up until then they were a touch firmer, even as the latest 30-Year Tsy auction tailed by over 1.0bp. Still, the cover ratio and takedown metrics were roughly in line with the recent averages.
  • Local data and Fedspeak was discounted.
  • Chinese Caixin services/composite PMIs and a television appearance from U.S. President Trump are eyed during Asia-Pac hours.
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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