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Treasury Buyback (Liquidity Support, 1 to 10-year TIPS, max. USD 750mln): Buys USD 745mln of 2.291bln offered, O/C 3.08x; accepts 12 of 28 eligible issues

Newsquawk Staff ·

Treasury Buyback (Liquidity Support, 1 to 10-year TIPS, max. USD 750mln): Buys USD 745mln of 2.291bln offered, O/C 3.08x; accepts 12 of 28 eligible issues.

What it means

The recent Treasury buyback indicates strong demand for TIPS, with a coverage ratio of 3.08x, suggesting healthy liquidity support. This could lead to tighter spreads and influence the yield curve, potentially impacting risk sentiment and directly affecting the USD as investors reassess inflation expectations.

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