GOLD TECHS: Unwinding An Overbought Condition

• Treasury futures extend lows after S&P Flash PMI services and composite data comes out higher then expected while manufacturing declines.
• The Jun'25 10Y currently trades 110-21 (-14) vs. 110-20 low -- sitting on initial technical support, next level at 110-12+ Low Mar 6 & 13. Resistance above at 111-25 (Mar 11 high), support below at 110-12.5/110-00 (Low Mar 6 & 13 / High Feb 7).
• Tsy 10Y yield climbs to 4.3153% high, curves still mixed: 2s10s +.472 at 29.864, 5s30s -1.851 at 56.572.

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• Since the quarterly rolls at the turn of Feb/Mar, European bond futures contracts have leaned increasingly toward structural shorts.
• 5 of 6 Eurex contracts tracked by MNI Pi are in either short or very short territory, with BTP the exception.
• BTP, as well as Gilts, appear to be drifting toward the short side.  
• Last week saw a combination of short covering and long-setting.

• USDJPY makes an attempt at 150.00, while the US Mfg PMI missed expectations, Services and Composite saw strong beat.
• Immediate resistance is still at 150.15/150.18.