T-Notes Tick Away From Highs, JGB & Aussie Bond Futures Hold Gains

T-Notes headed higher early on, driven by the risk-off impetus generated by aforementioned combination of worrying catalysts. Deepening lockdowns across Europe and a slide in oil prices have kept participants on the cautious side, as they are already eyeing the results of U.S. election & FOMC MonPol meeting, due later this week. That being said, T-Notes have moved away from highs, amid recovery in e-minis, and last trade +0-00+ at 138-07+. Cash Tsy yields sit unch. to -1.5bp across a flatter curve. Eurodollar futures last seen -0.5 to +1.0 tick through the reds.

• JGB futures are consolidating early gains. The contract last trades at 151.84, 4 ticks shy of last settlement. Cash JGB yields are marginally mixed. Final Japanese Jibun Bank M'fing PMI was revised to 48.7 from 48.0.
• In Australia, YM -0.5 & XM +0.5. Cash ACGB curve runs a tad flatter, with yields last unch. to -0.6bp. Bills trade unch. to -1 tick through the reds. The AOFM auctioned A$1.5bn worth of ACGB 21 Nov '25, with bid/cover ratio edging higher to 6.27x from last auction's 6.19x. In local data, AiG M'fing PMI returned into expansion, improving to 56.3 from 46.7, while final Markit M'fing PMI was unch. (54.2) vs. the flash reading. ANZ job ads increased even faster than the previous month, while building approvals jumped 15.4% M/M vs. exp. of +1.5%.