The overnight repo market....>

US TSYS/OVERNIGHT REPO: The overnight repo market on Wednesday saw the ten-year

note remain tight at -3.05% vs. -3.00% Tuesday and -1.65% Monday. The ten-year

note demand occurred amid early anticipatory shorts heading into next week's

3/10/30-year Treasury auctions, and

also reflect other market-bearish positions of short 10-year notes or sell

10-year notes.

- Most other issues traded quietly, though the 3-year note had a light bid at

0.58%. The old 5-year notes traded at 0.90% loosening out from 0.06% Tuesday and

a super-tight -3.50% rate on last Thursday. The old 5-year note loosened up

after last week's settlement of the 2/5/7-year auctions, said traders. The

Treasury General Collateral rate meanwhile traded loose at 1.14%.