RBC rates strategists Michael......>

US TSYS/RESEARCH: RBC rates strategists Michael Cloherty and Ashutosh Kamat

noted the "Fed and Tsy will hold their "third annual conference on the Structure

of the US Tsy Mkt on Nov. 28. Unfortunately, the Senate Banking Committee

scheduled a confirmation hearing for Powell at 10am that morning, meaning

attention will flip back and forth between Powell and Mnuchin that morning."

- They add the "major focus is likely to be on whether or not there will be the

public release of TRACE data for Treasuries. Since the summer, regulators have

been collecting and analyzing trade data from FINRA members, but have not been

capturing trade data from non-FINRA members (a growing part of the market).

Nonetheless, we think the debate about public release" of Tsys "will be

white-hot."

- They added "these are not corporate bonds. Or stocks. TRACE originally started

because there was such poor price visibility in the corporate market that less

sophisticated investors sometimes overpaid. But there is already spectacular

price visibility in Treasuries; what TRACE for Tsys is about is flow visibility

rather than price visibility."