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Solid Durable Goods, Broadly As Expected

DATA REACT
  • Core durable goods in March were in the ballpark of being as expected, with orders a touch stronger than expected (+1.0% M/M) and shipments slightly weaker (+0.2% M/M).
  • This sees orders bounce after dipping in Feb, maintaining a solid Q1.
  • Treasury yields briefly moved a little further off earlier session lows from just prior to the data but have since resumed the day’s rally, with 2YY and 5YY down ~7.5bps and 10YY -6.5bps as long-end yields touch new lows.
  • BBDXY firmed slightly on the release, keeping to +0.2% on the day as dollar strength continues.

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