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Bonds Crushed on Late Morning Sales

US TSY FLOWS
Strong selling continues, surge in volumes (TYH>880k) as bonds make new session lows last few minutes. 30YY nearly made it to 2.0% with 1.9984% high, 10YY hits 1.6123% last few minutes.
  • US$ index session high of 96.305 (+.623) back to Dec 29 levels; Gold hammered -28.60 at 1800.60.
  • Despite the best volumes in over a week, market depth remains thin, trade whippy. Contributing to steeper curves, trading desks reporting domestic real$ buying 2s, foreign real$ selling 10s, sporadic deal-tied selling and flattener unwinds in intermediates vs. long end.

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