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Bonds Follow Bund Lead

US TSY FUTURES

Tsy 30Y Bond futures (USH3) neared overnight high of 126-28 last few minutes, tracking bounce in German Bund following latest Dec CPI read: below exp (-0.8% MoM vs. -0.6% est, 8.6% YoY vs. 9.0% est).
Relatively thin market depth, however, as Tsy futures retrace just as quickly. Yield curves extending inversion:

  • 3M10Y -9.964, -62.982 (L: -68.078 / H: -57.942)
  • 2Y10Y -5.668, -61.391 (L: -62.062 / H: -50.971)
  • 2Y30Y -4.249, -51.152 (L: -51.626 / H: -41.702)
  • 5Y30Y +0.316, -3.945 (L: -4.293 / H: 2.96)

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