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And TD's Gennadiy Goldberg added "lower....>

US BONDS: And TD's Gennadiy Goldberg added "lower supply" in US$ SSA and GSEs
"has created a notable tightening in spread products this year, placing strong
tightening pressure on SSA and GSE spreads. SSAs have seen a particularly strong
tailwind as the pivot by issuers toward more EUR supply in lieu of USD issuance
has tightened spreads considerably."
- "In fact, SSA supply in USD this year is running about 17% lower through
September, with EUR supply 21% higher during the same period," he said. "This
has allowed 5yr core SSA spreads to tighten from about Treasuries+30bp at the
start of the year to roughly 18bp today. 5yr GSE spreads on the other hand, have
remained consistently tight throughout the year, starting the year around
Treasuries+7.5bp and tightening more modestly to about 6bp today."

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