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US Treasuries remain under..........>

US TSYS SUMMARY
US TSYS SUMMARY: US Treasuries remain under pressure, with macro data flow on
the strong side continuing to weaken quality bonds globally.
- The Tsy curve is a little steeper, with the 2-Yr yield up 1.7bps at 2.727%,
5-Yr up 2.4bps at 2.847%, and 10-Yr up 2.4bps at 2.955%.
- The 2-Yr yield hit 2.7315%, a new cycle high; 10s hit 2.9571%, the highest
since Aug 9. From a technical perspective, the 10 is testing trendline
resistance coming in from the May high.
- Saw a futures block trade at 0242EST, with sources suggesting it was a 5s30s
flattener: 18,034 FVZ8 at 112-29+ and 3,228 WNZ8 at 157-08. The 5s30s spread
fell from 25.4bps around the time of that block to 24.7bps at the low, though
last trading 25.3bps.
- Eurodollar futures remain weak, with most of the strip off 2.5-3.0 ticks and
weakness concentrated in the longer-dated contracts (Sep20 onward).
- Re data, this morning saw NFIB small business confidence pick up to an all
time high (108.8 vs 107.9 July). 1400GMT sees wholesale trade and the job
openings and labour turnover survey for the month of July.

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