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Tsy futures spiked higher following....>

US TSY FLOWS
US TSY FLOWS: Tsy futures spiked higher following reports of explosion at NY
subway station (42ND STREET, 8TH AVE), made new highs and holding stable off
highs at moment. Volume rather thin w/TYH just over 215k. Equities mildly higher
(emini +1.00, 5655.0), gold firmer (XAU +1.67, 1250.17), oil firmer (WTI +0.20,
57.56).
- Asia, Tsys opened with a mild bid, holding narrow range into London
cross-over. Flow included Japanese insurance portfolio buying in long end, 5s30s
flatteners in cash.
- Carry-over bid into London hours, curve bull flattened following NY subway
explosion. Long end paring move amid reports suspect is in custody. Sources
reported sellers in 5s and 30s, pre-auction short sets.
- Spds running wider, spd curve flatter at moment; flow includes fast$ receivers
in 5s earlier, paying in 2s and 5s during London hours.
- Eurodollar futures, decent short end selling following the 3M LIBOR set
(+0.0147 to 1.5635%, +0.0542 last wk), knocking EDZ7 down 0.007 from prior trade
to steady. 

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