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What to Watch: February CPI, Tsy 10Y Re-Open, Monthly Budget Statement

US TSYS
  • Cash Treasuries holding narrow overnight range, Bond futures leading gains in the long end amid modest volumes (TYM4 under 280k), curves flatter (2s10s -1.533 at -45.527).
  • Main focus on this morning's CPI inflation data for February at 0830ET. Supercore inflation is seen moderating from an extremely strong increase in January, likely boosted by seasonality concerning start-of-year price hikes, but is still expected to show a strong pace.
  • No Fed speakers, remain in blackout until March 21.
  • Treasury auctions: $80B 42D CMB at 1130ET followed by $39B 10Y Note re-open auction (91282CJZ5) at 1300ET.
  • Later this afternoon, the Monthly Budget Statement will be released at 1400ET.

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