It has been a relatively sedate for US......>

US TSYS: It has been a relatively sedate for US Tsys with the latest round of

Chinese GDP data holding no surprises. T-notes have operated in a 3+ tick range.

The curve has traded in mixed fashion with 2-Year yields easing a little, while

yields from 5-Years out have edged higher, allowing the curve to reverse some of

the flattening that was evident on Monday.

- The latest round of TIC flow data (for Feb) showed that China boosted its

holdings of Tsys by the largest amount in 6 months, while Japanese investors

shed their Tsy holdings, perhaps in front of the end of the FY and as USD

hedging costs moved higher.

- On the issuance front Indonesia announced that it intends to issue USD

denominated 10-Year paper, while Syngenta Financial will be bring 2-, 3-, 5-,

7-, 10- & 30-Year USD paper to market.

- Fed voters Quarles, Williams & Bostic are set to speak on Tuesday, with

non-voters Evans & Harker also due up.

- T-Notes last at 120.14, yields: 2Y 2.373%, 3Y 2.522%, 5Y 2.686%, 7Y 2.787%,

10Y 2.832%, 30Y 3.030%.