US Treasuries posted little gains following the release of Jul FOMC meeting minutes, which

Market Roundup

• US Treasuries posted little gains following the release of Jul FOMC meeting minutes, which appeared to be less hawkish as market anticipated earlier, as policymakers split on the timing for next rate hike. The minutes revealed that some Fed officials thought that the improvements in economic conditions warrant for raising rates, but some actually preferred to observe more data before making tightening decision. On the other hand, the policymakers also viewed the near-term risks to the economic outlook diminishing, but the Brexit shock created uncertainty about the medium to longer-run outlook.
• Ringgit government bonds were traded in sideways, amid relatively thin trading flows on Wednesday. Sentiment was slightly guarded, as players awaited the release of Jul FOMC meeting minutes for market direction.
• Thai sovereign yield curve ended higher and steeper amid selling pressure, possibly due to cautious sentiment ahead of FOMC meeting release scheduled on Wednesday. IRS rates were seen rising by 2-4bps across the curve. Elsewhere, daily volume increased from Bt10.9 billion to Bt15.3 billion, with flows mainly contributed by shorter dated papers namely LB176A and LB21DA.

·  Indonesian bond market closed on Independence Day.