A strong bid to start the session in the....>

US TSYS: A strong bid to start the session in the wake of the U.S. Tsy formally

labelling China an FX manipulator, with T-Notes +0-12 at 130-07. Comes after

Trump used the phrase frequently on Twitter on Monday.

- Also worth highlighting that Monday saw Chinese state media confirm that "the

Customs Tariff Commission of the State Council has not ruled out import tariffs

on newly purchased US agricultural products after August 3, and Chinese related

companies have suspended purchasing US agricultural products." This came after

some confusion in the messaging of various sources pieces from newswires

surrounding the matter on Monday.

- A seemingly spurious tweet pointing to a potential meeting between Trump & Xi

allowed T-Notes to move back from best levels on Monday, however, the bid

resumed into the close as participants deemed the account that pushed the tweet

out to be a peddler of "fake news."

- Now, what will China do in response....