⚖️🔻Dollar Rate Spreads Extend Decline: Cable FX Macro

• A benchmark of dollar interest rate spreads calculated by Bloomberg showed differentials narrowing as U.S. Treasury yields declined on the week

• The U.S. 2-year Treasury yield fell 16.5 basis points to 4.456%, extending a downturn from the previous week

• Interest rate differentials favouring the dollar are now at the lowest since mid-October

• While most major sovereign debt markets saw bids, U.K. gilt yields advanced on the week, U.K. 10-year finished up 2.8 basis points