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Xi Eyed Ahead Of Deluge Of Fedspeak

US TSYS

T-Notes hold a tight range after firming on Tuesday, last -0-01 at 139-05+.

  • The continued fiscal impasse on the Hill, delays surrounding the COVID-19 vaccine process (as both J&J & Eli Lily experienced worry re: test subjects) and some idiosyncratic pressure points for equities provided support for the U.S. Tsy space on Tuesday. Elsewhere, U.S. CPI slowed, as expected.
  • The sum saw the curve bull flatten, with 30-Year yields retracing back into familiar territory and below the 200-DMA (See earlier bullet for more on that), with that particular metric richening by ~6bp on the day.
  • Focus in Asia-Pac hours will fall on an address from Chinese President Xi (which is set to zoom in on the further opening up of the Greater Bay area), ahead of a deluge of Fedspeak and U.S. PPI release on Wednesday.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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