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Tsys Futures Edge Lower, Curve Steepens, Jobless Claims & 30Y Supply Later

US TSYS
  • Treasury futures are weaker this morning, following moves overnight. The 10Y contract is down (- 02+) at 108-24, however still well above initial support at 108-15+ (20-day EMA), the front-end is holding up better with the 2Y contract unchanged in early trading at 101-22.
  • The cash treasury curve has continued it's bear-steepening moves, with yields 0.5bp to 1.5bps higher, the 2Y is +0.2bp at 4.839%, while the 10Y is +1bps at 4.504%
  • Focus in the APAC region this morning has been on Japan where Labor Cash Earnings YoY missed estimates coming in at 0.6% vs 1.4% and down from 1.8% in Feb, while BoJ summaries of opinion, some notable headlines were one member stating that the rate path could be higher than expected while another stated discussions on rate hike timing should also deepen (BBG)
  • FED INTERVIEW (MNI): Fed Will Cut Rates More Sparingly In '24-Weber (See link)

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