Very Modest Richening In Asia

Asia-Pac hours saw another round of fairly inconsequential Tsy trade which failed to provide much in the way of fresh, meaningful information, with Monday’s richening move consolidated and tight ranges observed.

• Speculation surrounding further support for the Chinese economy garnered most of the attention, with little in the way of alternative, meaningful macro headlines observed.
• That left TYU2 to trade in a 0-06 range, last +0-03 at 119-25+, with volume sitting at ~49K as the contract stuck within the confines of Monday’s range.
• Cash Tsys sit 0.5-1.5bp richer across the curve, with only the 2- & 3-Year tenors having a look through Monday’s richest levels during Asia dealing, with those moves being limited in nature.
• Looking ahead, Tuesday’s NY docket sees the release of housing starts and building permits data, as well as industrial production.