Following global rates lead, Tsys......>

US TSY FLOWS: Following global rates lead, Tsys trading weaker, low end of

relatively narrow overnight range on avg volume (TYZ appr 280k). Data on tap

includes Retail Sales (0.4% est), IP (0.4%), CapU (78.3%, UMich sentiment

(97.0); no Fed speakers so far, media blackout at midnight through Sep 27.

- US$ bounce/off earlier lows, dollar index DXY -.003, 94.515 (94.359L/94.573H),

$/Eur pares gains +0.0001 at 1.1691, $/Yen -.08 111.85; equities firmer/near

highs (emini +5.5, 2915.75 vs. 2917.25H); Gold firm (XAU +3.04, 1204.53); West

Texas crude little firmer after paring strong gains for wk Thu (WTI +0.25, 68.84

after tapping 71.26 Tue). 

- Asia, Tsys pared gains late NY trade Thu, spilled over to early Asia trade

amid mild risk-on tone, firmer equities (NKY +273.35). Rates flattened out,

traded sideways on modest two-way through London crossover.

- London, gradual pick-up in sell interest, banks -5s, prop and real$ in 10s,

2-way short end. Eurodollar futures weaker, 3M Libor +0.0030 to 2.3371%

(+0.0059/wk). Tsy cash/ylds: 2Y 99-23 (2.769%), 5Y 99-11.25 (2.890%), 10Y

99-01.5 (2.985%), 30Y 97-22.5 (3.118%).