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Treasuries faded slightly in........>

US TSYS SUMMARY
US TSYS SUMMARY: Treasuries faded slightly in Asian trading on the back of the
latest softening of the trade war threat, after Trump excludes Mex/Can and
potentially allies from steel and aluminium tariffs. 
- Weakness continues in Europe, led by the belly of the Treasury curve. Decent
swap paying arrived in 7-10Y tenors soon after Europe opened and added to market
weakness.
- Swap spreads have narrowed led by the 2Y tightening 0.5bp but must be seen
again recently strong widening.
- The 2Y is +1.8bp at 2.27%, 10Y +2.4bp at 2.88%. JPM Survey shows that all
clients are much less short than they have been. 
- Payrolls is later today. Consensus is 205k, unemployment from 4.1% to 4.0% and
avg hourly earnings falling from 2.9%Y/Y to 2.8%Y/Y.

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