Data from the New York Fed shows that on August 28, the underlying overnight repo transaction volume for SOFR dropped to $2.808 trillion, down approximately 20% from the peak of $3.508 trillion on January 2; however, it only decreased by 2.2% year-on-year. The SOFR rate stood at 3.65%, with the 99th percentile at 3.73%, still not indicating typical funding squeezes. As of August 25, CFTC data revealed that leveraged funds reduced short positions in 10-year U.S. Treasury futures by approximately 130,000 contracts, while short positions in 5-year futures increased by about 72,000 contracts, showing no consistent retreat across maturities. Therefore, the decline in SOFR transaction volume is insufficient to prove a full unwinding of basis trades or a rapid retreat in demand for U.S. Treasuries.