/SUPPLY/TAXES: And FTN Financial's Vogel....>

US TSYS: /SUPPLY/TAXES: And FTN Financial's Vogel also noted that if the

potential US tax cuts "were weighted more toward households, then the max

economic effects would be the 2018-2020. Those time frames are not based on any

phase out of specific provisions. Instead, economic activity and asset

allocations adjust within several years to even the broadest tax reform" and

"taxes become part of the economic background rather than a driver of change."

- "Add in the fresh news of the Treasury leaning toward more funding in 2s to 5s

to replace reinvestments being reduced by the Fed, and curve flattening can

become further detached from the Fed rate hike outlook even more than it has

been this month," he said.