The post-FOMC trade was basically it for....>

US TSYS: The post-FOMC trade was basically it for the Treasury market. Bunds

opened firmer and roughly in line with where they should have given the

overnight price action. Then, the German market started rallying hard as a

half-decent sized RXU7 block trade caused some stop-losses. Amazingly, the TY

future was actually heading slightly lower at around the same time.

- The was a very large FV-US (said to be a flattener) trade in the middle of the

Asian session. 

- Perhaps as a consequence of that block trade, the section of the curve from

the Bond contract to the Bond is almost unchanged in yield today, whereas the

remainder of the curve is marginally higher in yield.

- The strength of the CNY is creating noise. However, for various reasons its

recent strength is not leading to any sizeable increase in FX reserves and so

might have more limited impact upon purchases of EGBs or USTs.

- Today, is the heaviest day for company earnings announcements and will add to

a fairly decent data calendar that includes jobless claims and durable goods

orders.