• Asian bonds were poised to follow a slump in US Treasuries as strong economic data cut the likelihood of a quick Federal Reserve pivot to monetary easing. Stocks in the region were set for a mixed open.
• Australia’s 10-year benchmark yield climbed early Tuesday after Treasuries came under renewed pressure on speculation that optimism regarding disinflation may have gone too far. Shares in Sydney fell and Tokyo equities were poised to open lower, while battered China-related stocks could enjoy a rare reprieve after a prolonged selloff.
• On Wall Street, both bonds and stocks fell on Monday after data showed the Institute for Supply Management’s services gauge hit a four-month high while prices picked up. The news jolted trading when investors were already digesting cautious views from some Fed speakers including Jerome Powell.