• Meanwhile in markets, Fed Chair Powell not-so hawkish performance still flattened the US Treasury yield curve like a steamroller, with inversions popping up in the 5y10y and 7y10y spreads. JPow also managed to push the 2y10y spread a hair away from its cyclical low, trading at 21bps last.
  • Powell’s warning that the Fed’s primary target is to restore price stability has managed to turn around breakevens and inflation-linked swap rates, which in the run up to the meeting had net new cyclical highs.

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