***Treasuries still recede a bit more,......>

US TSYS: ***Treasuries still recede a bit more, with traders citing more

rate-lock hedging vs. high-grade corporate bond issuance, which is being sped up

of FOMC meeting outcome Wed, and ahead of the Jewish religious holidays,

including Rosh Hoshanah Thurs and Friday. "This is a big holiday week," said one

trader. "So they will front load the issuance" into the early part of the week

to get it done and dusted early, he added. 

- Others meanwhile cited pre-FOMC jitters too. "People are concerned, they are

worried about the Fed" balance sheet reduction to be unveiled Wed, not to

mention a potential Dec. rate hike, said a different trader. "You have a risk

reduction in terms of positioning," thus selling of Tsys to whittle down market

positions, he added.

- Also Tsys had been pressured earlier by FX-tied selling by black boxes, and by

weaker German Bunds, too, said traders.