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The downside momentum in Tnotes push USDJPY through the session high.

CROSS ASSET
  • As already mentioned most desks haven't really seen a clear obvious driver on this push lower in Treasuries.
  • The initial leg lower an hour ago was triggered by a large 20k cumulative seller, but TYU4 is still seeing some downside continuation.
  • Immediate small support is at 110.06+, this week's low, with a decent rise in Volume activity in Treasuries now, to the sell side.
  • The price action in the US is spilling over into the Bund, with the German 10yr at session low and heading to the initial support at 131.97
  • USDJPY breaks a new high on the back of it.

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