Little in the way of notable reaction in....>

US TSYS: Little in the way of notable reaction in Tsys to comments from Fed's

Clarida, who noted that weaker-than-expected inflation means Federal Reserve

officials can afford to be patient while they wait to see whether worries over a

global slowdown and tighter financial conditions persist, adding that should

these crosswinds for the U.S. economy persist, policy should respond.

- Clarida also noted that the Fed shouldn't hesitate to adjust its balance sheet

roll off if needed.

- T-Notes stick to a tight range, yields 0.8-1.2bp lower across the curve early

on.

- White and red eurodollar contracts trade unchanged to 0.5 tick higher

- T-Notes last 121.22+, U.S. 10-Year cash Tsy yields last 2.731%.