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Newly Found GoC Inversion Builds

CANADA
  • An accelerating double-digit rally in the belly and long-end of GoCs (-13bps) drives further inversion in 2s5s to -6bps after yesterday turning negative for the first time since Mar’20.
  • 2s10s isn’t far behind at +7bps, catching up on the +2bps in Treasuries.
  • Chart below shows 2s5s and monthly GDP Y/Y growth.

Source: Bloomberg

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