There were no data or events to intrude on the 'stock trade' by Treasuries, which was leavened with a pinch of technical influence as well. Gains by Treasury futures appeared to outpace those of cash, but mainly played catch-up to late equity losses and cash gains on Thursday. The September bond closed up 26/32 at 104-04 after reversing higher from session lows of 103-12, while the cash bond closed only 13/32 higher at 99-223.
The yield curve was mostly indifferent, with the 2s-30s spread closing unchanged at +256/257 basis points. The belly of the curve did outperform after HP managed to successfully priced its $1.5 bln 2-tranche offering of 5s and 10s. The weak dollar reinforced the stock ailments, with the traded-weighted dollar dipping below 108 to fresh 17-month lows. Oil prices slipped after Venezuela apparently vowed to increase output to shore up its domestic finances.