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Extending Highs Post-Auction

US TSY FUTURES
  • Treasury futures are extending highs at the moment (TYM3 115-31 +25, yield taps 3.4294 low), no obvious headline or block related trigger, but stocks are extending modest lows (ESM3 4114.25).
  • Short end outperforming as curves are bull steepen, 2s10s +5.640 at -45.130, projected rate cuts into year end inching higher: Dec'23 cumulative nearing -80.0bp at 4.275%.

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