Tsys weaker across the board --........>

US TSY FLOWS: Tsys weaker across the board -- trading narrow band, near session

lows all day; yld curves modestly steeper. Tsys followed EGBs lower on day (Bund

10Y yld climbed off negative first time since March 22). Surge in equities back

to mid-Oct 2018 levels added to weaker rates as did incoming corporate debt

issuance, near $14B.

- Moderate futures volume (TYM>1.4M); US$ index lower/off early session lows

(DXY -.279, 97.082); equities firmer but well off midday highs (SPX +5.0,

2872.0).

- Relative quiet trade, shrugging off less than exp ADP private March employ

data (+129k), long end clawed off lows following lower than exp ISM NON-MFG COMP

56.1. Two-way flow w/better fast- and real$ flow, deal-tied hedging in mix.

- On tap for Thursday: Relative quiet ahead Friday's headline data, Thursday's

session includes March challenger layoff plans; weekly claims; March Treasury

STRIPS Holdings and Fed weekly securities holdings after the close.

- The 2-Yr yield is up 2.6bps at 2.3288%, 5-Yr is up 2.9bps at 2.315%, 10-Yr is

up 3.6bps at 2.5098%, and 30-Yr is up 4.7bps at 2.9242%.