Treasuries held a muted lower price....>

US TSY FLOWS: Treasuries held a muted lower price range, after early technical

selling with the cash 10-year note around the 2.40% key level (now at 2.406%,

after hitting a high yield of 2.412% around 9:20 am ET, until buyers came in.) 

- "Volume is fairly light: we're about 20% below the average volume," said one

trader at a primary dealer. "People are starting to get worried about a move

higher in yields. And there is uncertainty on the Fed Chair." 

- But he added while Pres. Trump's choice of Fed chair is a "big deal" in "the

shorter-term, the tax deal is a big issue. This economy needs regulatory reform

and a better tax structure. This low rate structure does not make sense any

more" amid current improving economic conditions. "We have been there for the

prior seven years, due to the regulatory and tax structure," he added.