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Following Bunds and Gilts, Tsy.........>

US TSY FLOWS
US TSY FLOWS: Following Bunds and Gilts, Tsy futures trading weaker, near London
session lows on modest volume (TYH<190k), curves mixed/front end off 10 year
lows (2s10s +0.964, 52.526; 2s30s +1.267, 86.371; 5s30s -1.302, 53.799). US$
weaker vs. Yen (112.837), equities firmer (emini +2.75, 2688.25), gold stronger
(XAU +5.15, 1292.45), oil little weaker (WTI -0.07, 59.57).
- Asia, Tsys opened mildly weaker, held narrow range into London crossover. Flow
included misc sellers in 5s and 10s.
- London, Tsys slipped to new lows on heels of selling in Bunds and Gilts, sales
reportedly for balance sheet reduction purposes; bank portfolio selling in 10s.
No help from weaker US$ 
- Swaps, spds running mildly wider, adding to midweek expansion, flow includes
mixed flys (belly receiving in short end: $140k 3s4s5s, $113.2k 4s5s6s; belly
paying out the curve: $125.4k 10s15s20s, $78.6k 20s25s30s). Recent $500M
receiver in 1s, 1.885% and 2Y switch around 2.3175-2.320%.
- Eurodollar futures, mostly lower, Whites outperforming, 3M LIBOR run higher
slows (+0.0012 to 1.6946% (+0.0088/wk).

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