Rates trade with modest bid, decent....>

US TSY FLOWS: Rates trade with modest bid, decent futures volume (TYZ>450k), yld

curves marginally flatter. Relative quiet w/Industrial Production (0.0%) and

Capacity Utilization (78.1%) rounding out the wk. Look for mkts to remain

sensitive to China trade tariff headlines, otherwise accts squaring, paring and

hitting sidelines ahead next week's shortened Thanksgiving holiday schedule.

- Brexit debate and no-confidence of May threshold also remains in focus.

- Overnight flow varied and two-way in shorts to intermediates through Asia

hours, long end extended session highs last half hour as US$/Yen extended lows.

No deal-tied flow, next week's corp supply expected to be light, Tsy supply sees

$42B 13W and $36B 26W bill auctions Monday.

- Equities weaker (sources note GE CDS continue to forge wider, research focus

on companies w/excessive debt burden -- will be hearing a lot more of that in

the near term.

- Tsy cash/ylds: 2Y 100-01 (2.854%), 5Y 99-23.25 (2.933%), 10Y 100-05.5

(3.103%), 30Y 100-12.5 (3.353%).