[MARKET ANALYSIS] T-note futures struggle for direction after yesterday's choppy performance and post-FOMC recovery

The T-note futures are currently struggling for direction following a choppy session and a rebound post-FOMC meeting, suggesting that market participants are cautious ahead of upcoming supply, including a 7-year note auction.

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[MARKET ANALYSIS] T-note futures struggle for direction after yesterday's choppy performance and post-FOMC recovery

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USTs: +0.5 ticks

  • Lacks direction following the prior day's choppy performance and post-FOMC rebound, with demand also contained ahead of more supply, including a 7-year note auction.

Bunds: -4 ticks

  • Trades little changed in the absence of any major fresh catalysts from the bloc and after the latest ECB rhetoric provided little to shift the dial.

JGBs: -14 ticks

  • Gave back some of the prior day's gains but with downside stemmed amid a quiet data calendar and somewhat soured risk sentiment.
Context

Meanwhile, Bunds remain stable without significant influences from the ECB, while JGBs have given back some gains as risk sentiment shifts. Overall, this indicates a wait-and-see approach as the market assesses upcoming events and supply dynamics.

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