Regional players were seemingly happy to....>

US TSYS: Regional players were seemingly happy to buy into the latest pickup in

Tsy yields during Asia-Pac trade, with the recent 10-Year yield range still

intact after the space came off cheapest levels into the NY close on Wednesday.

- T-Notes +0-04 at 138-10, with the contract holding a 0-05+ range in a session

bereft of notable news flow, but still sees volumes that top the recent averages

at this time in the session (~101K lots for the contract ahead of European

hours), with yields now little changed across the curve after some light

richening earlier on.

- Flow wise, the high light came via a 5.0K block buyer of the TYQ0

139.50/141.00 call spread at 0-16.

- Weekly claims data and challenger job cuts noted today, as well as the

mid-month Tsy supply announcement covering 3-, 10- & 30-Year paper. 4- & 8-week

bill issuance is also due.

- Worth reminding that late Wednesday saw the Fed announce an expansion in the

number and type of entities eligible to directly use its Municipal Liquidity

Facility (MLF).