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The Tsy curve between 2Yr-7Yr is....>

US TSYS SUMMARY
US TSYS SUMMARY: The Tsy curve between 2Yr-7Yr is on pace for the lowest closing
yields since late 2017 on Thursday, with geopolitical tensions as a backdrop.
- Strong performance by the front end: 2-Yr yield down 5.5bps at 1.8235%, 5-Yr
down 4.8bps at 1.823%, 10-Yr down 3.5bps at 2.0858%, 30-Yr down 2bps at 2.5959%.
- Tsys rose a few ticks as US Sec State Pompeo says Iran is responsible for
the attack on two oil tankers near the Strait of Hormuz. However, gains were
pared afterward.
- Sep 10-Yr futures (TY) up 13/32 at 127-12.5 (L: 126-31.5 / H: 127-14).
- Volume not really confirming a decisive move higher. A little light overall,
esp in TUs and FVs which were running under 2/3 of 5 day avg volume at 1500ET.
- 30-Yr auction saw 0.4bps stop thru, 2.607% vs 2.611% WI. Decent cover
(2.32x vs 2.20x prev). Long end a little stronger in the aftermath.
- Jobless claims and import data were a little on the weak side and curve
flattened but had little lasting impact.
- Decent slate of data Friday, including May retail sales and May industrial
production/capacity utilisation.

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