A move lower in regional equities...........>

US TSYS: A move lower in regional equities supported core FI in Asia-Pac hours,

with the latest round of combative comments from U.S. trade advisor Navarro &

the EIC of China's Global Times doing little to aid risk appetite. That being

said, core FI was generally contained. T-Notes last +0-02 at 131-06+, with

yields 0.8-1.8bp lower across the curve.

- T-Notes initially ticked lower before the broader risk-off flow supported,

with the uptick also helped by 3x 2.0K block buys of the TYX9 132.00 calls. It

was a busy session for block activity, early trade saw a 30.0K block buyer of

the FVZ9 119.25/118.75/118.25 put ladder, while there was also 7.5K of the USX9

160.50/159.00 1x2 put spread blocked (source pointed to a buyer) & 30.0K of the

FVX9 120.00/FVZ9 119.75 diagonal call spread blocked (most sources said buying

the X9 to sell the Z9).

- Non-m'fing ISM headlines Thursday's docket (and comes hot on the heels of

Tuesday's weak m'fing print), with final durable goods data & factory goods

readings also due. There will also be plenty of Fedspeak with Clarida, Quarles,

Evans, Mester & Kaplan all due.