[MARKET ANALYSIS] T-note futures take a breather after advancing as yields declined alongside lower oil prices and softer PPI data

USTs: +1.5 ticks

• Took a breather after advancing yesterday as yields declined alongside lower oil prices and softer-than-expected US PPI data, while Fed's Goolsbee had also commented that a prolonged Iran war reduces the chances of rate cuts and they may have to wait until 2027 to lower rates.

Bunds: +25 ticks

• Holds on to recent gains but with further upside capped overnight ahead of several ECB speakers and with Bund issuances scheduled later.

JGBs: +1 tick

• Price action is stuck around the 130.00 focal point with demand contained following stronger-than-expected Machinery Orders, lower oil prices and a recent BoJ source report that the central bank is considering a sharp increase to its price forecast this month.