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Growth Stocks Lead Decline as Yield Curve Steepens

EQUITIES
  • Worth noting the pullback in US equity prices in recent trade - no headlines crossing to prompt the move but does coincide in a decent uptick in volumes. Just over 10k contracts in the e-mini S&P changing hands at 1642GMT/1142ET which appeared to trigger weakness.
  • No material newsflow or headlines behind the break lower for stocks but worth noting the underperformance in the NASDAQ future - so growth names particularly hurt by the run-up in US yields/steepening of the curve.
  • US 10y yield remains highers by over 5bps on the session as the curve steepens - 10y yield now highest since late October.

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