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Post-CPI React

US TSYS

Tsy futures gap lower, recover half the move on fast market trade after in-line CPI read: -0.1%, CORE 0.3%; CPI Y/Y 6.5%, CORE Y/Y 5.7%. Stocks reverse gains (ESH3 -16.0 after tapping 4008.0 high. Yield curves holding flatter:

  • 3M10Y -6.096, -120.422 (L: -126.323 / H: -114.136)
  • 2Y10Y -3.361, -71.652 (L: -73.82 / H: -66.914)
  • 2Y30Y -5.442, -60.334 (L: -63.767 / H: -53.808)
  • 5Y30Y -3.382, -2.033 (L: -4.875 / H: 3.93)

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