*** Market calming down after big......>

US TSY FLOWS: *** Market calming down after big ADP miss, while there was

certainly heavy buying, short covering/position squaring, stop outs on the way

up, there has been significant selling (including blocks) into the move, futures

scaling back bid in long end, short end continues to outperform as markets grow

accustom to thought of 2-3 rate cuts prior to year end (Larry Summers calling

for .5 cut this summer). 

* Fed's Brainard will be watching Fri's employ dat closely (him and everyone

else!). Trump Admin advisor Navarro weighing in on Mexico tariffs "may NOT go

into effect" lending to latest round of selling.

* Note yld curves broadly steeper while 3M10Y remains well inverted (23.984).

VIX vol index is actually weaker at moment -.04 at 16.98.