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Relative quiet midweek trade,.......>

US TSYS SUMMARY
US TSYS SUMMARY: Relative quiet midweek trade, Tsys back near midmorning highs
after strong 5Y note auction: $36B 5Y traded
through -- awarded 2.610% rate vs. 2.820% WI (awarded 2.719% in June; 2.519%
avg) w/ bid/cover 2.61 vs. 2.55 previous (2.50 avg). Tsys trailed firmer EGBs on
open, early bid on back of soft Ausy CPI data, focus on US/EU trade talks w/EU
Pres Juncker in DC. Otherwise, light data day.
- Curves unwind Fri/Mon's steepening -- long end outperforming, decent futures
volume (TYU>1M). Futures blipped higher earlier on back of Washington Post
headline suggesting Trump admin advisors expect (25%) tariffs on foreign autos
this yr. Program buying quickly faded, two-way flow/net. Heavy Block/buy 10k
Eurodlr Red packs (EDU9-EDM0) +0-0.005. 
- US$ index off lows DXY -0.068 to 94.545; US$/Yen -.32 to 110.88
(111.38H/110.87L); equities rebound (emini +6.0, 2827.0); gold stronger (XAU
+7.5, 1232.03); West Texas crude bounce (WTI +0.95, 69.47). Tsy cash/ylds: 2Y
99-30.25 (2.649%), 5Y 99-04.25 (2.813%), 10Y 99-15.5 (2.934%), 30Y 101-09
(3.058%).

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