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Following mixed start, Tsys at/near....>

US TSY FLOWS
US TSY FLOWS: Following mixed start, Tsys at/near session highs by the bell, bid
after dovish comments from NY Fed Pres Williams: no need to put pedal to metal
amid "lack of inflationary pressure" and patience in "economy that still has
room to run". Lower (slightly) than exp ADP private empl (+163k) also spurred
early short covers. Note, Aug emply data has historically missed to downside 19
of past 20 years! Current dealer mean est +195k vs. whisper around +179k. 
- US$ index softer DXY -.138, 95.046 (94.933L/95.208H), $/Eur -0.0008 at 1.1622,
$/Yen -.58 110.95; equities weak/off lows (emini -5.0, 2883.25); Gold firm (XAU
+2.4, 1199.35); West Texas crude weak again (WTI -0.80, 67.92).
- Annc Cigna to issue over $22B est. debt across the curve (jumbo 10-tranche
deal noted late last week) helped steepen curve early amid flurry early
sale/hedging. Cautious risk-off tone ahead Fri's data, still waiting to hear
whether Trump admin will hit China w/more tariffs ($200B threatened last wk),
also as Eq's offered on back of weak semiconductors, FANG shares. Otherwise
moderate positioning, option hedging, FX-tied buying. Tsy cash/ylds: 2Y 99-30.75
(2.641%), 5Y 99-31.25 (2.753%), 10Y 99-29.5 (2.882%), 30Y 98-27.5 (3.058%).

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