[MARKET ANALYSIS] T-notes steady after Monday's selloff; JGB futures track UST weakness

T-notes are flat within a narrow 105-05 to 105-08 range, following Monday's decline as the easing of AI concerns prompted a return of the Treasury sell-off, alongside gains in prompt crude futures on unconfirmed Houthi attacks on Saudi oil facilities. The US data docket remains light this week, with participants looking ahead to PCE towards month-end. JGB futures are lower within a 125.59-125.82 range, tracking the weakness in USTs on Monday, with Japanese supply also on the docket for today. Bund futures are steady at 121.13 in quiet overnight trade, following Monday's pressure across European fixed income amid the civil unrest in France, which saw French yields post one of their largest one-day rises since March 2025 and the OAT-Bund 10yr spread widen to around 145bps ahead of Moody's review on Friday. Ahead, German PPI and the ZEW survey are due.