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Fed Funds Show Near Enough 3x50bps Fully Priced

STIR FUTURES
  • May remains largely pegged around 50bps but June climbs to 106bps, with further new highs of 149bps for July on the way to a total 237bps over the six meetings left this year.
  • The latest Freddie Mac mortgage rates confirm what was seen in yesterday’s MBA data, with 30Y fixed rates poking above late 2018 highs to the highest since 2010 as spreads to long end Tsys have widened in trend terms.

Source: Bloomberg


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