*** Treasuries slid after FOMC......>

US TSYS SUMMARY: *** Treasuries slid after FOMC said will proceed with balance

sheet reduction in Oct, kept FFR steady at 1%-1.25%, kept Dec. rate hike on

table (11 dots saw one more rate hike in 2017). FOMC voted 9-0. Median FFR

projectns unchngd for 2017, 2018 but trimmed for 2019 and long run in June SEP.

Cited temporary effects on inflation & econ from hurricanes; kept near-term

assessment "roughly balanced." 

- Tsys began NY firmer and kept to a range, mixed rate levels, with mild two-way

flows, flatteners in 2/5Y, 2/10Y, light sovereign/corporate debt issuance. 

- Tsys saw brisk heavy selling after FOMC, and also 5/30Y, 2/30Y curves

flattened after FOMC, also fast selling too in the TIPS. Some dip buying

surfaced near the Tsy 3pm ET futures close. 

- Block sale of 5,000 TYZ 10Y Tsy futures at 14;01pm ET. 

- US swaps: Tighter; receiver position holders caught break in short end, sprd

curve steepening in post-FOMC selloff; also a $100M apparent payer of US$ 5Y

swap at 1.96017 at 2:50pm ET. 

-TSYS 3PM ET: 2Y 1.446%, 3Y 1.596%, 5Y 1.884%; 7Y 2.116%; 10Y 2.278%; 30Y 2.822%