Treasury Trading Midsession Update

Philly Fed data very weak 8.0 vs expectation of 20.00. This has sent prices above Tuesdays high of 12018.5 setting up a test of 12029.5 where down trend line comes in.

See chart below for details.

10yr. options like yesterday were quiet until had uptick today above 120'10 area. ED options

have seen straddles move lower by about 1/2 tick at best less of a decline than yesterdays session.

6/17/2010
Paper	B	1,000	EDU119725 c	51.5	^ 70% 9768
Paper	S	300	EDH19900 strads	0.56	N/A
Paper	B	300	EDH19862.5 puts	15	N/A
New Edge	B	1,000	EDH193/95 csprd vs see below	2.5	N/A
New Edge	S	1,000	EDM195/96 c spred	see above	N/A
Time now is 7:30 a.m.c.s.t. and Weak Jobless claims push longer end yields lower mild 1-2 tic up in ED futs.
Paper	S	500	EDH19900 put	23.5	N/A
New Edge	B	2,000	EDQ90/91/92 pfly	1.25	N/A
Paper	S	500	EOU90 calls	3.5	9873
Fortis	B	1,000	EDZ85/90 psprd	6.5	N/A
Paper	S	500	EOU9875 strad	31.5	9872.5
Paper	S	300	EDN 9925 strad	1.5	9929
Paper	S	1,000	EDU95/96 c spread	1.25	9929
Straddle up date approx 8:00 a.m.c.s.t.
straddles:
edn0 9925 14.5/15.5 f=9929
edq0 9925 20.5/21.5
edu0 9925 25.5/26                       shorts
edz0 9925 33.5/34.5 f=9920             EON 9875  15/16
edh1 9912 50.5/51.5  f=9910            EOQ 9875  23/24
edm1 9887  71.5/72.5 f=9893            EOU 9875  30.5/31.5
EOZ 9850  53/54
reds                                      EOH 9825   74.5/75.5
edu1 9875  86/87      f 9872            EOM 9800    93/94.5
edz1 9850  100.5/101.5 f=9846
edh2 9825  113.5/114.5 f=9822
edm2 9787  124.5/125.5 f=9796
Mann	B	10,000	EON90/91 c spread	0.5	9873
Mann	B	10,000	EOU90/91 cspread	2.5	9874
Paper	S	2,000	EDN9912/9937 strngl	5.25 and 5.0	N/A
Paper	B	4,000	EDQ87/88/91 brkn. P fly	1.75	N/A
Paper	S	1,000	EDN91/92/93 Iron flys	9.5	N/A
TY
Paper	B	1,000	TYN119p	0.09	12010.5/11
Merril	B	2,500	TYN118.5/119.5 p spreads	11	12011/11.5
Merril	B	2,500	TYN118.5/119.5 p spreads	0.1	12015/16
Mann 008	B	3,000	TYU 122/125 c sprea	0.42	^120'16