EUROZONE T-BILL ISSUANCE: W/C 25 August

Tsy futures remain weaker/near session lows (TYU5 at 111-01.5, -11.5 vs. 110-31.5 low) ahead of the $13B 20Y bond auction re-open (912810UL0) at 1300ET, WI is currently at 4.944%, very near (0.2bp rich) last month's (small) tail. Today's results will be available shortly after the competitive auctions closes at 1300ET.

• June auction recap: Treasury futures showed little reaction (TYU5 110-20.5, +1) after the $13B 20Y Bond auction re-open (912810UL0) drew a high yield of 4.942% vs 4.940% when-issued yield; 2.68x bid-to-cover vs. 2.46x prior.
• Peripheral stats: indirect take-up retreated to 66.74% vs. 69.02% prior; direct bidder take-up 19.88% from 14.07% prior; primary dealer take-up of 13.37% vs. 16.91% prior.

• RXU5 has continued its decline after the EGB cash close, most recently touching a low of 129.85 (~70 ticks lower than pre-headline levels).
• Bloomberg reporting has more recently built on the FT piece five minutes ahead of the cash close re progress towards a US-EU trade deal.
• It takes it closer to support at 129.73 (Jul 21 low) after which lies 129.08 (Jul 4 low).

• US Data/Speaker Calendar (prior, estimate)
• 07/24 0830 Chicago Fed Nat Activity Index (-0.28, -0.15)
• 07/24 0830 Initial Jobless Claims (221k, 226k), Continuing Claims (1.956M, 1.954M)
• 07/24 0945 S&P Global US Mfg PMI (52.9, 52.7), Services PMI (52.9, 53.0)
• 07/24 1000 New Home Sales (623k, 650k), MoM (-13.7%, 4.3%)
• 07/24 1100 Kansas City Fed Mfg Activity (-2, 0)
• 07/24 1130 US Tsy $95B 4W & $85B 8W bill auctions
• 07/24 1300 US Tsy $21B 10Y TIPS auction (91282CNS6)
• 07/24 ----    Building Permits (1.397M, 1.397M), MoM (0.2%, 0.0%)
• Source: Bloomberg Finance L.P. / MNI