Early Bonds: Bonds seeing some curve selling with equities – all is not well with US political spectrum:
2-yr note yield, at 4.28% earlier, down two basis points to 4.32% now.
10-yr note yield, at 3.67% earlier, down one basis point to 3.69%.
Hotter than expected CPI and core CPI from the U.K. European Central Bank President Lagarde repeated that she wants to see rates reach a sufficiently restrictive level.
U.S. Treasury will follow yesterday’s strong 2-yr note sale with a $43 bln 5-yr note offering.
Crude oil is returning to its 50-day moving average (74.43) while the U.S. Dollar Index is up 0.1% at 103.56.