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US Strategist at UBS, Chirag Mirani.........>

US TSYS
US TSYS: US Strategist at UBS, Chirag Mirani believes that the US curve will
continue to flatten as UBS sees more Fed hikes coming than is discounted by the
market and also the Treasury kept coupon issuance sizes unchanged. Regarding
swap spreads Mirani mentioned a loosening of the supplementary leverage ratio
and that this creates widening pressure. However, this might be some way off and
so a flatter curve and low coupon supply should dominate in the near term to
produce tightening pressure on spreads.

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