Dan Demming of KKM Financial analyzes the turnaround in 10-year Treasury note futures as they move higher following a one-month low. The primary catalyst for the rally was the PCE inflation data, which arrived in line with expectations, defying market fears of a higher reading. Demming highlights a broad shift in sentiment bolstered by a month-end equity rally and declining crude oil prices, leading to lower yields across the entire curve—specifically in the 2-to-5-year range. The 10-year yield reflects this trend, dropping nearly four basis points to 4.38%.
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