Yields Bounce Off 50WMA, Head Of NYFed Speaks Out Against Slowing QT and Rate Cuts

Meanwhile RRPs break below $600B

• RRPs have decreased to $583B and the number of counterparties for reverse repos is at a new low of 65.

• Upcoming Treasury note auctions will free up about $100B in space on the bills end, bringing RRPs down to the high $400B range by end January.

• The bounce off the 50WMA for 10Y and 30Y yields suggests a possible resumption of the bond bear market and a bottom in CPI numbers.

• John Williams, head of the NYFed and second most influential man on the FOMC, wants QT at full speed and no rate cuts any time soon.