Tsys steady/mixed in the short.......>

US TSY FUTURES: Tsys steady/mixed in the short end, moderately higher out the

curve, futures trading off late overnight highs on light volume (TYM<200k).

Coming up, Feb housing starts (1.287m est), Feb building permits (1.320m est),

followed by Feb ind prod'n (+0.4% est), Feb cap-u (77.8 est). US$ index weaker

(DXY -.188, 89.951); equities weaker (emini -.5, 2755.0); gold firmer (XAU

+4.33, 1320.61); West Texas crude little higher (WTI +.15, 61.34). Quiet ahead

weekend and next wk's two-day FOMC, .25bp hike exp Wed.

- Asia, Tsys started off steady/mixed, inching higher on narrow range into the

London cross-over on light two-way trade, some FX-acct buying out the curve.

London, gained on mild bid in long end/paring move over last hour, two-way flow,

mild pos'n squaring ahead weekend

- Swaps, spds mildly tighter, adding to Thu's compression, light flow ahead

weekend, some light paying keeping lvls in range.

- Eurodollar futures mixed, short end weaker ahead LIBOR set. Mar fut's/opt's

expire today (technically, fut's and front Mar opt's expire 0600ET Mon while

Reds-Purple midcurves expire at 1700ET Fri). Huge OI (+10M) coming off sheets.