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Consolidating Yesterday’s Rally, More Employment Data Lined Up

US TSYS
  • Cash Tsys are off highs but nevertheless have unwound some of yesterday’s second half paring of gains, with the downside surprises in ADP employment and ISM services setting the tone ahead of payrolls landing tomorrow on Good Friday. In the interim, further employment data are in focus today in an otherwise light docket, with initial claims and Challenger job cuts.
  • 2YY -5.2bp at 3.727%, 5YY -4.5bp at 3.326%, 10YY -2.6bp at 3.285% and 30YY -0.9bp at 3.562%.
  • TYM3 trades unchanged at 116-18+ in a relatively narrow range, still off yesterday’s high of 116-30 which stopped just short of the bull trigger at 117-01+ (Mar 24 high).
  • Data: Challenger Job Cuts Mar (0730ET), weekly jobless claims (0830ET)
  • Fedspeak: Bullard (1000ET) with text + Q&A
  • Bill issuance: US Tsy $60B 4W, $50B 8W bill auctions (1130ET)

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