Risk-off unwind tone so far, Tsys......>

US TSY FLOWS: Risk-off unwind tone so far, Tsys weaker across the curve but

seeing bouts of buying on dips, equities higher (ESU9 +25.0) and gold weaker

(-9.75), decent volume (TYZ>460k), yld curves bear steepening.

- Contributing factors, at least in the meantime: Hong Kong annc'd withdrawal of

extradition bill that had sparked protests there last few weeks; lower odds of

no-deal Brexit after late Tue SO24 vote to force PM Johnson back to table. 

- Overnight flow included two-way in 10s-30s earlier, sporadic buying from prop,

fast$ in shorts to intermediates through early London hours, swap-tied buying

earlier, deal-tied hedging unwinds, fast$ buying cash, real$ selling

intermediates and buying long end.

- Flurry of Fed speakers today (Williams, Bowman, Bullard, Kaplan, Kashkari and

Evans) ahead start of Fed Blackout period (Sep 7-19). Bank of Canada policy annc

today, steady at 1.75% expected.

- The 2-Yr yield is up 1.2bps at 1.4639%, 5-Yr is up 2.1bps at 1.3508%, 10-Yr is

up 3bps at 1.4876%, and 30-Yr is up 3.1bps at 1.9839%.