Spds running mixed spd curve steeper.......>

US SWAPS: Spds running mixed spd curve steeper after long end gap tighter late

Thu. Flow included bank receiving in 10s, 2-way in 5s10s and better spd curve

steepeners in 5s30s. Latest spread levels:

* 2Y  -0.62/17.69

* 5Y  -0.25/7.12

* 10Y -0.06/1.81

* 30Y +0.25/-14.94

Thursday recap:  Long end gapped tighter late. No word from Fed on easing

regulatory burden for systemically important/too big banks, but spd curve

flattens sharply into Thu's close, 30Y gap tighter/extend inversion, more than

reversing last wk's steepening on hopes of lvg ratio relief from Fed Board of

Gov Randy Quarles. Spds started to gap tighter in aftermath of bull flattening

in Tsys as US Pres Trump talked up the US$, saying midweek comments from Tsy Sec

Mnuchin giving pass to weaker US$ were taken out of context. Limited flow on

day, better receiving from bank portfolios in front end, bank paying in belly,

macro fund paying intermediates vs. wings on carry-over fly interest.