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Tsys trading mildly higher across......>

US TSY FLOWS
US TSY FLOWS: Tsys trading mildly higher across the curve, just off top end late
overnight highs, narrow range/modest volume (TYH<270k). Choppy equitys (SPX
-1.75, 2777.0); US$ scaling back recent gains (DXY +.003, 96.524 vs.96.648H).
Limited data today, but Jan 29-30 FOMC minutes to be released at 1400ET as
scheduled (US gov closed due to snow storm, lock-up canceled, distribution via
internet -- slight delay for wires to release details).
- Similar to prior session, Tsys following bunds higher, also watching new highs
in JGB futures. Modest flow includes deal-tied buying/hedge unwinds in fronts to
intermediates vs. fast$ selling belly, two-way option flow in Tsys ahead March
quarterly expiry Friday, March/June futures roll continues ahead Feb 28 first
notice. 
- Recent selling lead quarterly March Eurodollar futures after 3M LIBOR
set/rebounds from early week decline (+0.0221 to 2.6633%, -0.0195/wk; note 6M
set -0.0424 to 2.6933%, -0.0604/wk).
- Tsy cash/ylds: 2Y 100-00.62 (2.487%), 5Y 100-05.75 (2.459%), 10Y 99-29
(2.634%), 30Y 100-13.5 (2.977%).

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