Tsy futures trading steady/mixed,......>

US TSY FLOWS: Tsy futures trading steady/mixed, near middle narrow overnight

range, decent volume (TYU w/330K largely due to Sep/Dec rolling), London out on

bank holiday. Equities little firmer (eminis +1.5, 2444.0), gold higher (+6.45,

1297.82), oil weaker (WTI -0.43, 47.44).

- Asia, Tsys traded mildly weaker for much of Asian hours, recovering to

steady/mildly higher into London cross. Central bank buying 2s and 3s. BoJ

Kuroda interview w/Bbg at Jackson Hole, the BoJ will be "extremely accommodative

monetary policy...for some time." On the pace of growth, Koruda said he thinks

"4 percent growth is excellent but we don't think 4 percent growth can be

sustained. Around 2 percent growth is likely.

- London, Quiet w/London out on bank holiday; quiet consolidation after Jackson

Hole conf no surprises from Fed Chair or ECB Draghi. Flow included macro fund

sales in 5s, pre-auction short sets ahead $26B 2Y/$34B 5Y auction double header.

- Swaps, spds mostly wider, spd curve inches steeper. Limited overnight flow

included macro fund paying in 10s.

- Eurodollars, wings steady vs. mildly higher Reds-Blues; no LIBOR sets