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Greenback, Treasury Yields Benefit as Payrolls Surge Beyond Forecast

DATA REACT
  • Both the USD and the US yield curve see immediate strength following the better-than-expected payrolls data, with the headline change beating expectations alongside a solid set of positive revisions to the previous few months. While unemployment ticked higher, as did the participation rate, adding a further tailwind to the greenback.
  • Resultingly, GBP/USD has slipped well through yesterday's lows, with the greenback considerably stronger across the board. The US curve trades flatter once more, with front-end yields higher by 8-9bps.

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