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FTN Financial's Jim Vogel said Tuesday......>

US TSYS: FTN Financial's Jim Vogel said Tuesday "month-end flows were content to
leave 10s under 2.40% and 30s under 2.90%. Both stay beneath those levels this
morning. The middle of the intermediate curve was under pressure into November,
however, to repeat as the worst performing sector on the curve for a consecutive
month. It does appear some of last Friday's rally accommodated early month-end
buying before the weekend."
- He noted October "saw Treasuries sag just slightly and the rest of fixed
income produce net profits." Meanwhile today "global rates are quiet, leaving
the US as the only major market where investors remain skeptical about continued
purchases in fixed income," he said. "Versus yields that were cheap to any
number of possible developments last week, Treasuries offer slightly less value
unless developments tip away from tax reform and inflation." 
- He adds "and of course, portfolio managers will have much more information to
assess value once Friday morning" and October US jobs "wraps up a busy week.
"Tomorrow, the Bank of England is expected to raise rates to reverse post-Brexit
easing" with traders also looking for "further clues to 2018 policy," he said.

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