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Curve Twists A Little Steeper Into NFPs
Tsys continue to coil ahead of NFPs & the ISM manufacturing survey, with TYZ3 last -0-03+, sticking to the narrow 0-04+ range established in Asia-Pac hours.
- Cash Tsys twist steepen at the margin, running 1bp richer to 1.5bp cheaper.
- Yields operate just off the lows of recent sessions and the curve pivoting at 10s.
- 2s10s and 5s30s within recent ranges, well off inverted cycle extremes.
- Final European & UK m’fing PMI data, along with the delivery of previously touted support surrounding the Chinese property & FX markets, has provided the bulk of the interest in pre-NY trade, although didn’t move Tsys.
- Comments from Atlanta Fed President Bostic haven’t been market moving.
- Note the BBG whisper number for the headline NFP release sits at +155K, a touch below the BBG survey median of +170K (range of survey +120K to +230K).
- Final U.S. manufacturing PMI data from S&P global and Fedspeak from Mester pads out the NY docket.
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.