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Post-Philly Fed NonMfg React

US TSY FUTURES
  • Little reaction as Treasury futures holding firmer, near late overnight highs after the August Philly Fed non-manufacturing index comes out -13.1 vs. 1.4 prior.
  • Front month Sep'23 10Y futures currently +5 at 109-07.5 after marking new cycle lows overnight at 108-28.
  • The move down confirms a resumption of the downtrend and maintains the bearish price sequence of lower lows and lower highs. Focus on 108-26+ Low Oct 21 2022 (cont) and a major support level, followed by 108-12 1.00 proj of the Jul 18 - Aug 4 - Aug 10 price swing.

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