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The strong headline NFP beat...........>

US TSY/RECAP
US TSY/RECAP: The strong headline NFP beat outweighed the miss in the Average
Hourly Earnings component of Friday's US labour market report, although Tsys
managed to finish off of session lows, as the curve steepened.
- Decent two-way flow was noted post-data from fast & real money accounts as
well as bank portfolios in the 2s-10s area of the curve, while prop and real
money selling was seen further out (10s-30s).
- There was little to no reaction seen to Fed speakers (Non-Voters) Evans &
Rosengren.
- Fed's Bullard (Non-Voter/Dove) had an interview released over the weekend &
stated that "lifting rates four times in 2018 could drive down inflation -
especially when the central bank's programme of reducing its asset holdings is
becoming more and more forceful."
- FOMC now in blackout period ahead of next week's decision.
- The latest batch of North Korean headlines have done little to move the Tsy
space in early dealing.
- T-Notes last 119.30+, US 10-Year Yield last 2.894%.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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