Spds have gradually turned mixed since.....>

US SWAPS: Spds have gradually turned mixed since the open, spd curve mildly

steeper now as 3M FRA/OIS retraces earlier widening. Moderate flow volume

includes rate receiving in 2s at 3.0879%, s25s steepener, and flurry of paying

in 5s-7s. Latest spd levels:

* 2Y -0.25/21.12

* 5Y -0.19/15.25

* 10Y +0.12/6.88

* 30Y +0.69/-10.25

Thursday recap: Spds wider across the curve by the bell, front end leads but off

first half wides; FRA/OIS wider, but off early highs as well. Decent flow

includes decent deal-tied hedging in front-intermediates (near $7B). Second half

flow included better rate paying in 2s, two-way in 5s (but better paying),

paying in 7s at 3.156%; 2s5s flatteners and 2s3s4s receiver fly. Earlier flow

included better rate and spd paying in 2s around 3.0865-3.08635%, 5s at 3.1530%,

7s at 3.1980%, 8s at 3.18688%. Elsewhere, 2s7s spd curve flattener, 2s5s10s

receiver fly.