Trial now
OPTIONS

Larger FX Option Pipeline

RUSSIA

Putin: Russia Set To Unveil New Hypersonic Weapons

GILTS

UK 5s/30s drifts towards Friday's low

CZECHIA

CZKJPY Found Support Above 38.2% Fibo Level

BOND SUMMARY
BOND SUMMARY: Worry re: Coronavirus, as it spread in China & internationally,
triggering an extension of the Chinese Lunar New Year holiday period, broader
travel crackdowns & increased scrutiny of local/national gov't generated demand
for safe havens in a holiday thinned Asia-Pac session. Risk reversal trades
featured in the block space, as some pointed to regional traders looking to fade
the recent richening in call skew. USJ0 157.00/164.00 & 157.00/165.00 structures
were in play, as were FVH0 119.25/120.00 & 119.25/120.25 positions. T-Notes were
bid from re-open, but have eased from highs, last +0-11 at 130-20, yields
3.4-5.1bp lower across the curve, belly outperforms. Eurodollar futs print unch.
to +5.5 through reds. Early trade saw selling of EDH0, but the most recent trade
of note in the contract was a lift. Futures volumes are robust across U.S. FI.
- JGB futs tracked a similar path to Tsys. Futs last +24, bull flattening
apparent on the curve. Various strategists have pointed to the tightening in the
LCH/JSCC 30-Year swap spread in recent sessions, which would indicate receiver
side flows from abroad. This has also been evident today.
- Australian markets are closed for a national holiday.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com