U.S. Treasury 10-year, 2-year futures' net shorts decline in latest week -CFTC

BY Reuters | ECONOMIC | 07/01/22 04:01 PM EDT

NEW YORK, July 1 (Reuters) - Speculators reduced bearish bets on benchmark U.S. Treasury 10-year and two-year note futures, roughly more than a week after the Federal Open Market Committee (FOMC) announced a 75 basis points interest rate hike, Commodity Futures Trading Commission data showed on Friday.

U.S. 10-year note futures' net shorts hit 181,680 contracts in the week ended June 28, the lowest since mid-May. A week earlier, speculators held net short contracts of 228,184 in 10-year note futures.

Net shorts on U.S. Treasury two-year note futures also fell in the latest week with 102,118 contracts, the smallest net short since late May. (Reporting by Gertrude Chavez-Dreyfuss; editing by Jonathan Oatis)

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Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

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