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Tsys Dip After ADP Beat, Quickly Rebound

US TSY FUTURES
Better than expected Sep ADP job gain of +568k vs. +430k est (Aug down revision by 34k to +340k) spurred additional selling in intermediates to long end.
  • Futures levels holding near top end overnight range as fast$, prop acct buying after initial program selling.
  • Not a strong reaction overall and throws doubt on StL Fed economist estimate of huge NFP miss (-818k seasonally adj) reported on last Thursday. Mean estimate for Fri's Sep NFP +488k.

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