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Slowly Chipping Away At Heavy 2024 Inversion

US EURODLR FUTURES
  • The front EDH3 maintains a richer tone (+0.015) with little impact from the earlier Libor fixing.
  • Longer dated contracts see an increased cheapening though, up to -0.015 in the white pack and capping at -0.04 in the green pack onwards.
  • The near-term shape of the curve is little changed since after the Dec FOMC decision, with EDM3/EDZ3 holding close to -0.50 but EDZ3/EDZ4 continues to chip away at heavily inverted levels, currently -1.13 vs -1.27 after the Dec FOMC.


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