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Treasury Futures Edge Higher, Ranges Tight, Volumes Low

US TSYS
  • Treasury futures have done very little today in the Asian session, volumes remain low and ranges tight making lows of 110-23 and highs of 110-26+ where we trade now.
  • Looking at technicals, the trend remains down with the bear trigger at 110-05+/109-25+ (Low Mar 1 / Low Feb 23), a break here would resume the downtrend and open 109-14+ (Nov 28 low) While to the upside a break of 111-01/111-02 High (Mar 4 / Feb 1) is needed in order to test 111-06+ (50-day EMA) which could signal a trend reversal.
  • Treasury Yields are 0-1bp lower, the 2Y is -0.8bp lower at 4.595%, 10Y -0.6bp lower at 4.207%, while the 2y10y is unchanged at -39.041
  • There has been little in the way of headlines, Trump won North Dakota as we head into Super Tuesday later, while Blinken is to meet with Qatar PM and Israel Minister Gantz later today.
  • Looking ahead: S&P Final PMIs, ISM Services & Factory Orders out later today.
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