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Tsys ylds near highs (10YY.............>

US TSY FLOWS
US TSY FLOWS: Tsys ylds near highs (10YY 2.590%)/futures at/near late O/N lows
by the bell, better volume (TYM<300k) w/London back from Easter Monday. Yld
curves mostly steeper.
- Equities firmer (SPX +4.0, 2916.5); USD index firmer (DXY +.117, 97.404); West
Texas holding gains after rising to Oct'18 levels Mon (65.92H) after US annc
Sunday they would end Iran oil sanction waivers on 5 nations. Desks note decent
correlation between 10Y TIPS B/E and WTI over last several months.
- Overnight flow included prop and spec selling in 5s, 10s and 30s, leveraged
acct buying OTR 30s; light swap-tied flow, some pre-auction short sets ahead 2Y
note auction later.
- On tap for Tuesday: April Philadelphia Fed Nonmfg and Richmond Fed Mfg Index;
Redbook retail sales m/m; several housing price, sale and building data; US TSY
$26B 52W bill and $40B 2Y note auctions.
- The 2-Yr yield is up 0.2bps at 2.3888%, 5-Yr is down 0.2bps at 2.3847%, 10-Yr
is unchanged at 2.5885%, and 30-Yr is up 0.7bps at 2.9991%.

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