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Post-Weekly Jobless Claims React

US TSYS
  • Fast two-way trade as Treasury futures initially rebound then extend lows after weekly claims data comes out in line with expectations, continuing claims a little lower than anticipated with a modest down-revision to the prior.
  • Sep'24 10Y trades 113-12 low (-16.5) after bouncing to 113-19.5. Current levels well inside technicals: resistance at 114-03/114-16 (High Aug 6 / 76.4% of the Aug 5 - 8 pullback) vs. support at 112-26.5 (20-day EMA ).
  • Next up: flash mfg, services PMIs at 0945ET followed by existing home sales at 100ET.

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