The week ahead has US macro data of consumer spending & income as well as core PCE. We expect to see core PCE at .12%MoM but the trend will start chaging from May when the full impact of tariff starts playing out. We continue to expect 3.3% core PCE by end Dec'25. We believe the long end yield higher for longer narrative continues this week. The 40 yr JGB auction on 28th May will be critical. This week we also have supply of 2,5,7 yr UST notes.
