Moderate risk-off tone all session,....>

US TSY FLOWS: Moderate risk-off tone all session, rates traded sideways for much

of the session after initial rally in early trade. No discernable react to wkly

jobless claims falling slightly to 1.508M. Virus count data continues to provide

support (Texas reports 2,947 COVID-19 hospitalizations in last day, up 5.5% (vs.

Wed's 11% surge). 

- Tsys well bid after the close, gradually extended late session highs after

California reported virus count +2.6% vs. 2.0% 7-day avg). Yld curves bull

flattening with long end outperforming. 

- StL Fed Pres Bullard comments on economy, sounded like he was trying to strike

a balance: "LIQUIDITY METRICS FROM FINANCIAL MARKETS ENCOURAGING" Bbg while

"MASSIVE BUSINESS FAILURES MAY TRIGGER DEPRESSION RISKS" Bbg.

- 5Y TIPs auction, Fourth consecutive stop: 5Y Tips re-open awarded -0.766%,

2.8bp

through WI-.738.

- The 2-Yr yield is down 0.2bps at 0.1933%, 5-Yr is down 1.6bps at 0.3281%,

10-Yr is down 4.3bps at 0.6953%, and 30-Yr is down 6.9bps at 1.4602%.