May 24, 2024 14:26 GMT
Losses Pared On U.Mich Inflation Expectations
US TSYS
- Softer than expected U.Mich inflation expectations helped Treasuries more swiftly away from earlier session lows.
- Cash yields are back little changed on the day, ranging from 0-1bp lower, led by the long end.
- 10Y yields of note having earlier fleetingly cleared 4.50% for the first time since May 14, now at 4.467%.
- TYM4 at 108-23 is back to pre US session levels. It earlier pushed through yesterday’s PMI-driven low to 108-16 to stop just short of a key support at 108-15 (May 14 low) after which lies 108-06 (May 3 low).
- Fed Funds implied rates meanwhile dip but still hold all of yesterday’s lift with the services-led PMI beat, with 21bp of cumulative cuts for Nov vs 25bp prior and 35bp for 2024 as a whole.
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