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Fresh Selling In Asia

US TSYS

Early Asia trade sees the front end of the cash Tsy curve lea the weakness as participants react to Tuesday’s CPI print & Fed repricing, with the major benchmarks running 2-4bp cheaper across the curve. Paper out to 5s has registered fresh cycle highs in yield terms in recent trade.

  • TYZ2 has moved back towards Tuesday’s base since the cash re-open.
  • If there is a break below Tuesday’s low then technical focus will switch to June’s base. A break there would be significant from a technical perspective.
  • Note that President Biden has stressed that he is not worried about yesterday’s inflation release.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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