Safe havens surged Friday as efforts...>

US TSY FLOWS: Safe havens surged Friday as efforts to combat the spread of the

COVID-19 virus forced shutdowns and layoffs. NY state Gov Cuomo issued shelter

in place mandate, followed a few hours later by Illinois state Gov Pritzker

doing the same. Gold +27.4 late, SPs -100.0.

- Long end rates lead the surge, 10YY fell to 0.8390%, 30YY to 1.4145% in late

trade, both still off March 9 all-time lows of 0.5407% and 0.9953% respectively.

- Coordinated funding effort:  FED, BOC, BOE, BOJ, ECB and SNB anncd a shift

from weekly to daily US$ swap lines early in the session. Later in the session,

the NY Fed anncd it will offer $1T in daily repo ops through the end of March.

Whether the Fed will buy other securities, including corporate bonds & longer

term munis remains to be seen.

- Despite the mkt vol that has kept issuers at bay, corp debt issuance finished

strong for wk ($63B total), with Intel and Coca-Cola issuing combined $13B

Friday.

- The 2-Yr yield is down 13.7bps at 0.3134%, 5-Yr is down 22.9bps at 0.4585%,

10-Yr is down 29.5bps at 0.8454%, and 30-Yr is down 36.8bps at 1.4169%.