Trial now
USDCAD TECHS

Pullback Considered Corrective

AUDUSD TECHS

Holding Above Recent Lows

US EURODLR OPTIONS

BLOCK, Large 3Y Midcurve Put Condor

JGBS
JGBS: The super-long end of the JGB curve underperformed on Friday, as the
advances in US-North Korean dialogue & the weaker yen weighed on longer dated
paper.
- The BoJ's latest MonPol decision was a non-event.
- The US curve bear-steepened on Friday in lieu of the strong headline NFP print
in the latest labour market report.
- Barclays suggest that "with the selloff in US Tsys over the weekend, today
could see risk-on sentiment cap the JGB market's upside, but we expect
relatively firm trade overall on favourable supply and demand. The BoJ is
scheduled to hold buying operations for 5-10y and 10y+ issues. We expect the
sizes to be unchanged, but do see a risk of a reduction given the swing toward a
weaker yen. Other highlights this week include the 5y JGB auction, 20y JGB
auction and the JTUC's first estimates of the "shunto" spring wage negotiation
results."
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com