Choppy trade to finish off a........>

US TSYS SUMMARY: Choppy trade to finish off a tumultuous week for markets, Tsys

reversed gains into midday, trading lower/near recent lows on chatter Steve

Bannon will be exiting White House advisor role.

- Tsy futures pared gains in late morning trade, sources citing recent headlines

of Bannon' imminent departure, USD starts to rebound vs. Yen, Gold reversed

broad gains (-1.37, 1286.69).

- Heavy sell volume, near 140,000 TYU from 126-29.5 to 126-23 (Vwap and high

volume price of 126-25.5 at time), fast$ sellers 10s, real$ sales in 10s and

30s, curve flattener unwinds in 5s and 10s vs. 30s.

- Tsys inched off initial lows with no immediate word from WH officials on fate

of Bannon. Extended sell-off as various wires corroborated Bannon exit, equities

traded to new session highs, 2439.5 at time. 

- Tsys had early risk-off and FX acct buying, the latter unwound as USD

rebounded into midday. Sep/Dec Tsy futures roll volume ramped up in long end.

- Eurodollar futures mildly lower/session lows; Dec rate hike chances just below

40%.