*** Tsys finish mildly higher.......>

US TSYS SUMMARY: *** Tsys finish mildly higher Friday, lower half modest range,

decent two-way positioning ahead of weekend, light deal-tied flow. Heavy short

end Eurodlr buying, Block facilitation, option related hedging while Dec rate

hike probability drops to around 20%. Equities weaker (emini -6.50, 2458.25)

gold lower (-1.33, 1347.96), oil weaker but off lows (WTI -1.50, 47.59).

- Tsys opened firmer, trailing firmer EGBs following ECB QE-taper chatter

overnight -- ECB member, Liikanen said ECB decisions could be taken in Dec.

- Despite the midday dip in Tsys, underlying safe haven buying continues.

Geopolitical tensions w/N Korea remain taut (National Day holiday in N Korea

tomorrow, show of military force anticipated -- US and ally react undecided);

Hurricane Irma expected to make landfall in Florida late Saturday while Houston

continues to pick up the pieces from Hurricane Harvey.

- Sources reported decent two-way positioning ahead of weekend, light deal-tied

flow after some $55B priced between Tue-Thu. Limited react to second-tier data,

July wholesale inv +0.6% vs +0.4% in the advance estimate. Philly Fed Harker did

not touch upon Mon/Pol, Fed Dudley confident expansion to continue above pace.