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Weekly Kickstart With Bloomberg & Deutsche Bank

Let's start the week with a bit from Bloomberg's Richard Breslow who documents the continuation of the reflation trade and (correctly) maps out the critical test facing sovereign yields. There's lots of supply coming online ahead of the FOMC call and we can likely divine quite a bit from the auctions. Here's Breslow's take: This is a really important week for Treasuries. And therefore for global sovereigns as well. Whether you look at economic numbers, technicals, sentiment or expected policies, there’s very little to suggest that yields are ready to stop attempting to push higher. Sticker shock may be the only thing to hold things in check, but it sure feels that traders are getting more and more comfortable with these new levels. There are a lot, lot more people talking 3% for 10s than 2%. No one would have believed that possible back in July. Isn’t it curious how “global headwinds” just fell out of the conversation when it ceased to help describe the price actioWith the whole Treasury curve pushing against support, how this week’s compressed, yet full, schedule of auctions is received in the lead-up to the FOMC is key. Was this last leg of rather impressive bear-st
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