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BAX Yields Catch Up With Eurodollar Moves

CANADA
  • BAX futures are down as much as 6.5 ticks in the red pack, as they play catch-up after yesterday’s large slide in Eurodollars.
  • The rough shape of the curve remains as before, with inversion from BAZ3 onwards vs U3 onwards for Eurodollars, and with a less pronounced inversion with roughly -30bps in BAX yields vs -45bps in Eurodollars from the peak in yields to H5.
  • Ahead: Canadian industrial product and raw material price indexes for Feb shortly at 0830ET.
  • There is also Fedspeak from Williams (permanent voter) in a panel discussion at 1035ET, Daly (2024) at 1400ET and Mester (2022) with text and Q&A at 1700ET, plus NY Fed Sr VP Wuerffel discussing a post-Libor world at 0810ET.


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