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### POV, DON'T THINK LEVERAGE RATIO........>

US SWAPS
US SWAPS: ### POV, DON'T THINK LEVERAGE RATIO RELEIF FOR BANKS ANYTIME SOON.
- No word from Fed officials on easing regulatory burden for systemically
important/too big to fail banks -- but spd curve flattens sharply into Thu's
close, long end continues to gap tighter/extend inversion, more than reversing
last week's steepening on hopes of lvg ratio relief from Fed Board of Gov Randy
Quarles.
- Spds started to gap tighter in aftermath of bull flattening in Tsys as US Pres
Trump talked up the US$, saying midweek comments from Tsy Sec Mnuchin giving
pass to weaker US$ were taken out of context.
- Limited flow on day, better receiving from bank portfolios in front end, bank
paying in belly, macro fund paying intermediates vs. wings on carry-over fly
interest. Latest spread levels:
* 2Y  +0.31/18.31
* 5Y  +0.31/7.38
* 10Y -1.88/1.06
* 30Y -2.06/-16.12

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