Trades firmer after the bell but....>

US TSYS SUMMARY: Trades firmer after the bell but well off second half highs,

late risk-off unwind after Brexit draft agreement posted on EU site:

https://tinyurl.com/y7mow47r

- Earlier risk-off fueled by equities, sour AAPL price action got ball rolling

then Zero-Hedge reported Maxine Waters threatens the end of roll-back

regulations; bank shares getting knocked back. Little react to Oct CPI +0.3%

(unrounded +0.331%) as expected by analysts, vs +0.2% expected by markets.

- Large Block action, Steepener (adds to Tue curve Block): +39,233 FVZ at

112-11.75, bought through 10.25 offer; -7,235 WNZ at 149-24. Likely large front

end short unwind in progress w/+36k TUZ block buys from 105-10.25 to -13.

- Tsys climbed into midday, yld curves surge wider (2s10s and 5s30s appr

2.25-2.5 steeper) w/fast$, prop acct buying 2s and 5s, program and real$ buying

10s, slower on uptick w/banks buying long end. Decent corp issuance ($12.7b

DowDuPont jumbo 8-tranche issuance). Tsy cash/ylds: 2Y 100-00.75 (2.858%), 5Y

99-21 (2.948%), 10Y 100-02.5 (3.114%), 30Y 100-14 (3.351%).