Rates mixed into the closing........>

US TSYS SUMMARY: Rates mixed into the closing bell, curve steeper with long end

underperforming much of the session, rather quiet session despite 10Y yld making

a couple attempts to revisit 3.1205% high tapped in early London hours.

- US$ index off midday high (DXY +.077 93.469 vs. 93.565H; US$/Yen +.29,

110.690); equities chopped lower (emini -3.0, 2720.0), West Texas crude well off

early highs (WTI +0.06, 71.55 vs. 92.30H); gold mildly higher (XAU +0.75,

1291.46).

- Carry-over cross-current trade from overnight -- mkt reacting to European

headlines then technicals. Little react to wkly claims above exp (+11k to 222k),

US APR LEADING INDEX +0.4% VS MAR +0.4%. No react to Fed speak: NY Fed exec VP

Hirtle open remarks Eco Press Brief, Mn Fed Pres Kashkari and Dal Fed Pres

Kaplan on separate moderated Q&A sessions.

- Flow included steady steepener and/or flattener unwinds interest in 5s10s and

10s30s since the open, deal-tied flow in the mix, Jun/Sep Tsy futures rolling

still hasn't kicked into high gear yet.

- Tsy ylds: 2Y 2.565%, 3Y 2.773%, 5Y 2.927%, 7Y 3.056%, 10Y 3.104%, 30Y 3.238%