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Tsys trading firmer, just off.......>

US TSYS SUMMARY
US TSYS SUMMARY: Tsys trading firmer, just off early London session highs on
heavier futures volume (TYU>750k). Risk off ahead NY session w/rising
geopolitical angst around G7 meet, EMs weaker and sovereign spds wider (S Africa
Rand ZAR leads, also watching Brazil after sharp drop Thu). Otherwise quiet
ahead FOMC next Tue, hike expected. 
- USD index higher (DXY +0.338, 93.773; US$ vs. Yen -0.3, 109.4); stocks weaker
but moving off lows (emini -8.5, 2767.5); gold paring gains (XAU +1.06, 1298.23;
West Texas crude softer (WTI -0.37 to 65.58).
- Asia, Tsys opened steady to late NU levels, modest two-way flow,
selling/profit taking after Thu's strong rally. Tsys ratcheted higher through
early London hours, flow includes two-way in short end, prop, fast$ buying 10s
and 30s, light 2s30s steepeners/flattener unwinds.
- Swaps, spds running mixed, spd curve steeper. Recent flow includes payer in 3s
at 2.835%, 2s5s flatteners, 8s9s steepener and 2s5s10s fly, receiving belly. Tsy
cash/ylds: 2Y 100-00.8 (2.481%), 5Y 99-30.5 (2.758%), 10Y 99-19.5 (2.919%), 30Y
101-02 (3.069%).

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