YM Off Best Levels, Curve Still Comfortably Steeper

YMM2 has erased some of the early squeeze higher, but hasn’t gotten anywhere near neutral levels, last +5.5, while XM has generally marched to the beat of U.S. TY futures, with a lack of meaningful idiosyncratic drivers evident, to last deal +1.0. The YM/XM curve is still steeper in a bullish fashion as a result, albeit off the early session wides, while 15+-Year cash ACGBS are marginally cheaper on the day, resulting in twist steepening of the broader curve. EFPs are mixed, with some notable twist flattening of the 3-/10-Year box apparent. Meanwhile, Bills run 1-11 ticks higher through the reds, with the post-FOMC minutes move higher in U.S. Eurodollar futures providing at least some of the impetus there.