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Extending Highs

US TSY FUTURES
  • Treasury futures continue to drift higher in the last few minutes, through resistance at 110-04.5 (1.0% 10-dma envelope) to 110-05 high (+19). Sights now on 110-09, the May 16 high and bull trigger.
  • Middle East tensions potential driver for ongoing bid, as is late position squaring ahead of tomorrow's ADP private employ data in lead up to Friday's NFP.
  • Cash yields are currently running mildly lower: 2s -.0585 at 4.7496%, 10s -.0741 at 4.3143%, 30s -.0716 at 4.4660%, while curves look mildly mixed: 2s10s -1.565 at -43.735, 5s30s +0.746 at 13.673.

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