U.S. Treasuries flat ahead of September Conference Board consumer confidence

The U.S. Treasuries flattened during Tuesday’s afternoon session ahead of the country’s Conference Board consumer confidence survey results for the month of September, scheduled to be released today by 14:00GMT. Also, the short-term 2-year auction, due later today will direct markets thoroughly.

The yield on the benchmark 10-year Treasury yield slipped 1/2 basis point to 1.703 percent, the super-long 30-year bond yield edged tad 1 percent down to 2.143 percent and the yield on the short-term 2-year hovered around 1.675 percent by 11:40GMT.

While US stocks yesterday moved broadly sideways for a second successive day (like on Friday, the S&P again closed effectively unchanged), many Asian markets today have had a better day, Daiwa Capital Markets reported.

With Japan’s flash PMIs (see below) reporting only a modest weakening (in contrast with yesterday’s dire euro area indices), the Topix returned from yesterday’s holiday with a rise of 0.4 percent on the day, the report added.

And while Governor Yi Gang stated that the PBoC would be in no rush to cut rates aggressively or introduce QE, China’s main indices also moved higher (the CSI300 closed up 0.3 percent), after US Treasury Secretary Mnuchin stated that Vice Premier Liu He will visit Washington DC in the w/c October 7, Daiwa further noted in the report.

Meanwhile, the S&P 500 Futures remained tad 0.35 percent up at 3,007.38 by 11:45GMT.