Tsys trade mixed by the bell, yld......>

US TSY FLOWS: Tsys trade mixed by the bell, yld curves mildly flatter all day

w/long end outperforming. Heavy overall futures volume padded by increase in

Dec/Mar roll trade. General risk-off tone as equities chopped lower (tech and

some bank stocks initially blamed, midday buyers FANG basket helped SPX bounce

before resuming slide late). US$ index gained (+.669 at 96.862), while Crude

hammered back to mid-Dec'17 levels (WTI -3.90 to 53.30).

- Otherwise, relative quiet/range-bound trade ahead flurry of midweek data ahead

Thu's Thanksgiving holiday closure and early close Fri.

- Two-way flow w/better front end selling, some mild deal-tied hedging,

aforementioned Dec/Mar Tsy roll volume. modest flatteners/steepener unwinds in

2s10s and 5s30s. Large upside call buying in early 2019 TY low-delta calls on

day, hedging potential for no Dec rate hike and/or combo of rate cut. 

- Block sales -20k TUH unwinds small portion of better buys last 2 weeks.

- Tsy cash/ylds: 2Y 100-04.5 (2.797%), 5Y 100-00.5 (2.870%), 10Y 100-20

(3.050%), 30Y 101-09 (3.306%).