And TD's Gennadiy Goldberg added "lower....>

US BONDS: And TD's Gennadiy Goldberg added "lower supply" in US$ SSA and GSEs

"has created a notable tightening in spread products this year, placing strong

tightening pressure on SSA and GSE spreads. SSAs have seen a particularly strong

tailwind as the pivot by issuers toward more EUR supply in lieu of USD issuance

has tightened spreads considerably."

- "In fact, SSA supply in USD this year is running about 17% lower through

September, with EUR supply 21% higher during the same period," he said. "This

has allowed 5yr core SSA spreads to tighten from about Treasuries+30bp at the

start of the year to roughly 18bp today. 5yr GSE spreads on the other hand, have

remained consistently tight throughout the year, starting the year around

Treasuries+7.5bp and tightening more modestly to about 6bp today."