Tsys finished the day higher, but......>

US TSY/RECAP: Tsys finished the day higher, but well off best levels, tracking

broader risk sentiment following a rebound in equities, with the belly of the

cash curve outperforming.

- Fed speakers Bostic & Kaplan had little effect on mkts.

- The latest 2-Year Note auction stopped through by 0.1bp, issued at the highest

yield since 2008, with the cover ratio edging higher (albeit just below the

6-auction average). Direct participation cratered, with indirects taking down

over 50% of the supply, allowing dealer participation to ease slightly.

- Focus Wednesday turns to addresses from Fed's Bullard, George, Bostic &

Mester, as well as the release of the Fed's Beige book. Data releases headlined

by new home sales & Markit flash PMI surveys.

- There is some focus on Wed's BoC MonPol decision, with a 25bp hike to 1.75%

widely anticipated; while no major policy developments are likely at this week's

ECB meeting.

- T-Notes last 118.08+, U.S. 10-Year cash Tsy yields closed at 3.168%.