Treasuries ended Friday mixed,.....>

US TSYS SUMMARY: Treasuries  ended Friday mixed, flatter into month-end,

qtr-end, Jpn half-yrend. Quiet afternoon after morning selloff on strong 65.2

MNI Chicago Business Barometer read. Rates sold off too as WSJ said Pres Trump

met Thu w/ former Fed Gov Kevin Warsh about Fed chair post. Chances of Warsh

frontrunner for post rose last few days to 47%. MBS reversed gain on premise

Warsh would favor faster Fed balance sheet unwind; equities gained. 

- Moderate 2way w/short-cover/dip buys on core +0.1% August PCE price inflation.

Tsy flatteners via 2s, 3s, 5s and 7s vs. 30s. Prop, fast% selling on Warsh item

then misc buying/position square as mkt recovered. Desks eyed late month end

duration buying. 

- Tsys drifted off low on Fed Harker, who tho still eyed 3rd hike, said no Dec

"magic", can wait, favors more inflation data.

- Tsy futures: 2:49pm ET block buy of 9,500 in FVZ 5Y futures, sell thru done at

117-17; and 2:58 pm buy of 4,021 UXZ 10Y Ultra futures. Spain's Catalonia

independence referendum Sun. TSYS 3pm ET: 2Y 1.479; 3Y 1.612%; 5Y 1.923%; 7Y

2.159%; 10Y 2.323%, 30Y 2.855%.