Relative quiet end to the week,........>

US TSY FLOWS: Relative quiet end to the week, moderate risk-off tone with

equities paring gains (Sep eminis near steady for the week) rates firmer but

well off overnight highs on light volumes (TYU<650k).

- Bonds inched off lows on choppy two-way trade post IHS PMI data (missed exp

but improved from prior month: Jul Flash Manuf PMI 51.3 (52.0 exp, 49.8 prior),

Services PMI 49.6 (51.0 exp, 47.9 prior), Composite PMI 50.0 (47.9 prior).

- No deal-tied flow, high-grade issuance should remain muted next week as

earning's cycle kicks into high gear w/ some 200 companies issuing. Monday and

Tuesday see flood of Tsy bill and note issuance ahead Wednesday's FOMC policy

annc at 1400ET (no rate change exp), Fed Chairman Powell with press conf half

hour later.

- August Treasury options expire today, generating some two-way hedging in 10s

and 30s as they neared strike (139-16 and 181-00 respectively).

- The 2-Yr yield is down 0.4bps at 0.1473%, 5-Yr is up 0bps at 0.2708%, 10-Yr is

up 0.7bps at 0.5839%, and 30-Yr is down 0.1bps at 1.2305%.