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BMO's Ian Lyngen said the US.......>

US TSYS/RESEARCH
US TSYS/RESEARCH: BMO's Ian Lyngen said the US Treasury market "was under
pressure on Tuesday in a very typical run up into the duration-heavy legs of
this week's refunding auctions. There are a few nuances worth pointing out that
make this particular set-up a bit more constructive than most; namely, that the
back-up was relatively shallow, only able to momentarily challenge the 2.286%
21-day moving-average in 10-year yields, and was well short of the 2.313%
200-day moving-average. Said differently, the 200-day is holding on this second
attempt at a sustained break since the election." (10-year note is now at
2.216%.) 
- He added that 5-year notes "are seeing the comparable 200-day level (1.827%)
hold - at least for the time being. Momentum continues to edge toward the bottom
of the range, but is not yet overbought so we'll argue there is still some
potential upside." (5-year note is at 1.773.)

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