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Post-NY FED Empire Mfg React

US TSY FUTURES
Treasury futures rebound off early session lows after sharp drop in Empire Mfg index to -31.8 vs. 10.8 prior (-4.0 est).
  • Curves bending steeper with the short end leading the bounce (2s10s +2.536 at -50.564) Jun'23 2Y futures +1.38 at 103-06.5. Jun'23 10Y futures at 115-11.5 vs. 115-05 low, 10Y yield3.4775 +.0150.
  • Short end support should see renewed cumulative rate cut pricing.

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