BMO's Ian Lyngen said Tsys.........>

US TSYS/RESEARCH: BMO's Ian Lyngen said Tsys "stochastics are still technically

oversold," but "curl that started last wk has extended and this morning we see

bullish crosses throughout the curve." So "selloff has arguably run its course

for now and another bearish event would be needed to push ylds back to the top

of the recent range, otherwise a grind back toward lower ylds will prove to be

the path of least resistance," he said. 

- He saw "anything north of 2.25%" 10Y yld was a "buying oppy" for now. "We

might otherwise have been a bit more bearishly disposed had the mkt not so

easily have shrugged off a remarkably hawkish Fed. The combination of excusing

away any upcoming soft patch in the data as a temporary hurricane impact and, of

course, keeping the 2017-2018 rate projections steady has illustrated the Fed's

commitment to follow thru with a Dec. move. While there is a lot of data between

now and mid-Dec (as well as a series of political 'challenges'), the takeaway

from the Fed was that if the meeting was tomorrow the Committee wld go. While

obviously that is oversimplifying the issue, what we find more compelling is the

mkt's ability to recover the post-Fed losses (at least in 10s and 30s)."