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Subdued Start To GoC Session

CANADA
  • GoCs little changed since an uneventful open, leaving the 2YY just +0.1bp and 10YY -0.8bp, driving a modest underperformance to Tsys (-1.0-2.0bps) in a reversal of yesterday’s long end outperformance that at the time appeared to put weight on a new recession forecast and a decline in real imports.
  • Similar underperformance in front rates, with BAX futures little changed in very early trade compared to Eurodollars as much as +0.045 richer.
  • Both US payrolls and the Canadian employment reports obviously eyed closely ahead of Wednesday’s BoC decision.

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