⚖️❗️U.S. 10-Year Yield Drops By Most Since March 2020: Cable FX Macro

** As seen in Macro Walk report 11/11/22, subscribe at cablefxm.co.uk/reports

• This week the U.S. Treasury yield curve decline the most, other sovereign debt markets found bids but to a lesser extent.

• The weekly decline in the U.S. 10-year yield space was the largest since March 2020, most of the move was recorded on Friday as yield dipped by 28 basis points

• With rates meeting buyer appetite by this extent, the belly of the curve is now ticking below 4.0%, the 2-year and 30-year yields stand at 4.332 and 4.015%, respectively

• The 5s30s yield spread steepened by 5.2 basis points to 8.2, the week saw the 2s10s flat at -51.6 basis points

• However, the 3-month bill/10-year yield spread fell by 22.5bps to an inversion of 34.1bps, this is the most inverted since September 2009. The 3mo/10y yield spread inversion has a record for signaling a recession ahead