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Rates trading weaker on the back....>

US TSYS SUMMARY
US TSYS SUMMARY: Rates trading weaker on the back of strong US$ (DXY index
+.502, 92.343 vs. 92.566 high; US$/Yen 109.6 after tapping 109.79 high earlier).
Aside from US$ support, FI trade exceptionally quiet/low volume (TYM <680k) with
much of Asia and European markets closed for extended spring holidays. 
- Equitys broadly weaker (emini -20.0, 2627.0); gold weaker (XAU -8.30,
1307.05); West Texas crude weaker (WTI -1.08, 67.49).
- Day one of two day FOMC policy meeting, no fireworks expected. However, latest
MNI PINCH OIS-based model shows May rate hike probability has crept up to 10.0%
today (traders fading); Focus remains on June as the next FOMC rate hike (100%
priced in according to MNI PINCH).
- No react to data, Tsys held lows post ISM, const spending data. DBRS confirmed
US rating at AAA, trend stable. Accts sidelined ahead Tsy refunding 0830ET Wed,
FOMC annc 1400ET Wed, April NFP 0830ET Fri
- Modest FI option trade/mixed flow, modest corporate issuance, waiting for
details on Lloyds 3Y fix/FRN, 7Y fix. 
- Tsy ylds: 2Y 2.500%, 3Y 2.638%, 5Y 2.807%, 7Y 2.920%, 10Y 2.962%, 30Y 3.128%

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