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Market Roundup: Off Lows Post-PPI

US TSY FUTURES
Tsys still trading off lows, see-sawing around steady after delayed buying not necessarily tied to March reading of the Producer Price Index gained +1.4% MoM vs. +1.1% exp (+11.2% YoY vs. +10.6% exp).
  • Geopol risk moving closer to front burner again after Russia state media TASS reported US weapons convoy/deliveries to Ukraine to be viewed as valid targets.
  • Yield curves holding steeper/off highs while Tsy 10s bouncing around steady.
  • Rallies in TYM2 appear corrective for now after Tue's cycle lows (119-10.5 resistance) confirms resumption of the primary downtrend and an extension of the bearish price sequence of lower lows and lower highs. Key short-term trend resistance is at 123-04, the Mar 31 high.
  • June 30Y Bonds (USM2) 142-10 (-4) vs. early O/N high of 142-19, 30YY currently at 2.8252 (+.0160) vs. 2.8675% high.
  • Current cross asset: Oil adding to Tue's rally, West Texas Crude (WTI) +$1.42 (1.41%) at $101.98; as is Gold +$9.91 (0.5%) at $1976.59. SPX eminis mildly higher +1.0 (0.02%) at 4394.

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