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Spds running mostly tighter, spd curve.....>

US SWAPS
US SWAPS: Spds running mostly tighter, spd curve flatter amid light rate paying
and deal-tied hedging in 2s and 5s, fast$ payer unwinds in 10s. Latest spread
levels:
* 2Y  +0.12/24.69
* 5Y  -0.12/8.44
* 10Y -0.19/-2.25
* 30Y -0.38/-30.38
Thursday recap: Spds running steady to mixed by the bell, spd curve steepening
out after drifting flatter for much of the session. Risk-off tone outweighed
light deal-tied compression earlier, fast$ mild rate payers 2s-5s coming into
the session. In addition to some light deal-tied hedging, recent flow includes
5s10s spd flattener, 5s7s10s fly, paying the belly, small payer in 4Y at
1.9825%. Late morning receiving from insurance portfolio gave way to decent
paying in long end as spd curve steepened. OTC swaption vol mildly higher across
the surface; ongoing heavy put volume in exchange traded options.

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