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FI Returns With Mild Bid

US TSY FUTURES

Though ultra-bond is see-sawing around steady, balance of curve trading mildly higher ahead the NY open, moderate volumes (TYZ>250K) as rates return from extended holiday weekend. Overnight trade included misc acct selling in 5s and 10s, macro fund interest in steepeners. Curves mildly flatter at moment:

  • 3M10Y -1.494, 65.48 (L: 63.81 / H: 65.734)
  • 2Y10Y -0.700, 60.782 (L: 59.652 / H: 61.45)
  • 2Y30Y -1.229, 140.056 (L: 138.511 / H: 141.002)
  • 5Y30Y -0.753, 122.524 (L: 121.257 / H: 123.081)
  • Current futures levels:
  • Dec 2Y up 0.12/32 at 110-13.25 (L: 110-13.12 / H: 110-13.5)
  • Dec 5Y up 1/32 at 125-24.25 (L: 125-23.5 / H: 125-25)
  • Dec 10Y up 1/32 at 138-30 (L: 138-28.5 / H: 139-01.5)
  • Dec 30Y up 3/32 at 174-15 (L: 174-08 / H: 174-25)
  • Dec Ultra 30Y up 2/32 at 217-29 (L: 217-15 / H: 218-20)

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