The inversion between the 2-year and 10-year yield ended the Wednesday session at 22.2bps, this is still lower than yesterday's close but a recovery from session lows. The 3mo10y yield differential recovered to 45.1bps, up from the lows of 19.0bps seen on Monday. On the day, 2s10s were down 1.2bps, 3mo10y up 19.1bps
The difference between the FFR and the 10-year yield headed into the July FOMC meeting at 103bps, this is way off the highs seen back in mid-June. The spread is now closer to its 5-year average, the metric was ticking almost two standard deviations above its historic average
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