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​Inflation Breakevens Move Higher​

US TSYS
  • In contrast to yesterday, inflation breakevens have been behind the rise in nominal yields whilst real yields dip modestly.
  • The 10Y breakeven is up 7.5bps at 2.975%, back near recent highs having only been notably higher late last week when it touched a high of 3.08%.
  • The 5Y5Y sees a similar move on the day to 2.52%.

10Y nominal yield (white), breakeven (yellow) and real yield (green) plus the 5Y5Y forward breakeven (pink)Source: Bloomberg

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