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FI markets weaker, near mid-range in...>

US TSY FLOWS
US TSY FLOWS: FI markets weaker, near mid-range in Tsys and Eurodollar futures,
moves near lock-step with US$/Yen and equities. Early risk-on gradually unwound
heading into midday as equities pared gains (2612.5L) and FX pair moved off
early highs (110.0H to 109.33L).
- Trade quiet since prior to London going home, accts trading narrow range ahead
ECB tomorrow (0745ET), and US Senate vote on couple bills in attempt to end
partial gov shutdown (start around early afternoon, not set in stone).
- Data on tap for Thursday: Sees data picks up with weekly claims (210k), Markit
Mfg and Services index (flash), Leading indicators, Kansas City Fed Mfg Index.
- Early two-way flow into midday, better sellers on net from prop, leveraged
accts, deal-tied selling in short end, better rate paying in 2s-5s, light 2-way
in 4s and6s.
- Tsy cash/ylds: 2Y 99-26.5 (2.589%), 5Y 100-05.5 (2.586%), 10Y 103-06 (2.750%),
30Y 106-00 (3.066%).

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