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Treasury Futures Unchanged On Low Volume, No Cash Trading

US TSYS
  • Jun'24 10Y futures have done very little to start the day, with Japan out and no cash treasury trading expect the session to remain directionless with low volumes. Currently we are up 00+ at 110-05 from NY closing levels.
  • Looking at technical levels: Initial resistance is seen at 110-26 (20-day EMA), while above here 110-30+ (Mar 14 high) yesterday’s move lower to 109-24+ and piercing of the bear trigger at 109-25+ (Feb 23 low) could signal further weakness and has opened up a potential retest of 109-14+ (Nov 28 low).
  • No Cash treasury trading in Asia today, while on Tuesday curves bull steepened with yields finishing 1-5bps lower, the 2Y was -4.9bps to 4.683%, 10Y -3.2bps to 4.293%, while the 2y10y is +1.502 to -39.478.
  • Looking ahead: MBA Mortgage Applications later Today, while all eyes will be on the FOMC on Thursday.

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