Tsys were higher by the close as.......>

US TSY/RECAP: Tsys were higher by the close as Italian political concerns that

helped drive EZ sovereign spreads wider earlier remained a factor after the

London close, while US stocks fell.

- Tsys had pared their gains earlier after BoE policy announcement (unchanged

but 6-3 vote & QE unwind tweak came down on the hawkish side).

- Trade volume was robust, early flow included fast-money a/c's buying 10s,

real-money a/c's buying 30s, two-way curve flow with fast-money a/c's employing

7s10s steepeners & 7s30s flatteners.

- Eurodollars went out near the top of the range, Greens through Golds leading

the strip.

- T-Notes last at 119.28, US 10-Year Tsy yield closed at 2.897%.