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Treasury yields are lower, mostly...>

US TSYS SUMMARY
US TSYS SUMMARY: Treasury yields are lower, mostly achieved during the European
session. At 0821BST there was a 4364 contract block trade in the TYZ7 at 125-14
that appeared to create a short-cover snowball.
- Along the swap curve, flattener trades have been in evidence today. Help for
the rally was two decent-sized USD flatteners, the larger being $135k DV01 5-10Y
trade.
- Along the cash curve, the 3Y area has underperformed but, the CTD into the 5Y
FVZ7 contract, the Feb-22 is doing extremely well this morning as fast money
moves in.
- The 2Y yield is down 1.0bp at 1.509%, the 10Y is 1.8bp lower at 2.33%, with a
similar downward movement in the Bon yield ahead of the auction later today.
- Swap spreads are stable in the overnight session. 

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