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Flattening curves amid risk-off feel to markets

BONDS
  • Treasury futures and Bunds move further off their overnight lows ahead of the gilt open with markets generally in a risk-off mode with equities also higher with little in the way of headline drivers.
  • The Treasury curve is bull flattening with TY1 futures are up 0-4 today at 114-07 with 10y UST yields down -3.8bp at 3.544% and 2y yields down -1.7bp at 4.330%.
  • The German curve is twist flattening with Bund futures are up 0.10 today at 140.62 with 10y Bund yields down -1.0bp at 1.918% and Schatz yields up 1.1bp at 2.126%.

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