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See also: Mortgage Tidbits (below).
The U.S. government shutdown officially became the longest in history on Wednesday, with no resolution in sight.
Among other things, a prolonged shutdown cuts government spending, delays projects, derails federal payroll and kills a huge swath of data production. That is disinflationary and growth-negative, but it's also (usually) rate-friendly.
Either way, markets found a headlamp in the data darkness. Specifically, 5-year yields defied gravity after services and U.S. private payrolls beat forecasts.
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