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Bonds Recovering Ahead Fed Powell Presser

US TSY FUTURES
  • Bonds leading rebound off post-FOMC lows, back near top end of the range as Chairman Powell's press conference gets underway: early focus: Fed can proceed carefully. Tsy yields inching off new 16+ year highs: 5YY at 4.955 vs. 4.5438% high, 10YY 4.3207% vs. 4.3667% high.
  • At the moment, Dec'23 10Y futures +7.5 at 109-11.5 after falling to session low of 109-01, just above round number support (109-00).
  • Curves remain flat as short end underperforms current rebound (3M10Y -7.430 at 117.797, 2Y10Y -4.428 at -78.003).

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