⚖️🔺 Dollar Trades Higher As Treasury Curve Twist Steepens: Cable FX Macro

• The dollar has traded higher over the last couple of weeks, our own measure of the greenback vs G10 currencies has posted gains seven out of the last ten sessions

• The Cable FX Macro Dollar Index is trading in line with our measure of front-end rate spreads vs G10 peers, the index has risen in recent weeks as the U.S. Treasury curve twist steepens

• U.S. 10-year yield is now at 4.178% tracking a 32.1bps rise over the last month, the 2-year yield is 5.5bps lower when compared to the prior month at 4.883%

• Our Cable FX Macro USD Spreads Index is higher despite the front-end bid, this simply means that G10 equivalent short-term rates have seen yields drop more than in the U.S.