Nomura analysts also noted that after....>

US TSYS/5Y: Nomura analysts also noted that after Tuesday's "weak 2-year

(nominal) auction take-down, we maintain a cautious stance for the 5yr supply." 

- "The expectation for a Taylor-led Fed has been growing lately," they said.

"The tax reform discussion also remains in the headlines. In addition, the start

of the Fed's balance-sheet normalization process may continue to keep some

cheapening pressure on the belly, reducing risk appetite for investors. On the

bright side, overseas investors may still be interested in higher-yielding

intermediate US Treasuries, especially amid a persistent low-vol environment

across the board. Nevertheless, we think the risk is investors will stay light

on duration."