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FTN Financial's Jim Vogel noted......>

US TSYS/SUPPLY
US TSYS/SUPPLY: FTN Financial's Jim Vogel noted that "all three components of
yield this week have pushed beyond current fundamentals. In January, economic
data will need to catch up with market expectations, or real money investors
will slowly take advantage of cheaper valuations for inflation expectations,
real rates and term premiums."
- He adds also that "the biggest move the last three days has been in wider term
premiums illustrated by the snap curve steepening. Inflation expectations are
5bp above fair value versus flat last Friday."

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