A very sedate session for Tsys, with...>

BOND SUMMARY: A very sedate session for Tsys, with regional participants

assessing the risk-on, twist steepening dynamic of Monday's Wall St. session,

while getting to grips with the latest round of Sino-U.S. tension & as exp.

passage of the Hong Kong Security Law. On top of that, Chinese off'l PMI data

was a touch stronger than exp. (see earlier bullet for details). T-Notes +0-00+

at 139-11, with light twist steepening in cash trade. Flow wise, the highlights

came early on, with the regional thematic of downside interest still observed

via 5.0K TYU0 138.50/137.00 put spread & ~8.0K TYQ0 136.50 puts, both lifted.

- JGB futures were offered on the broader risk dynamic, with a fairly medicore

round of 2-Year supply also seen. Contract last -15 on the day, with twist

steepening of the curve evident. Participants seemingly expect little in the way

of long end support via the BoJ's July Rinban outline, which will be released

after hours, given the Bank's preference for a steeper curve.

- Aussie bond futures held a tight range on the final day of the local financial

year, hovering around unchanged levels at typing, with little/no reaction to the

broader economic docket and address from RBA Deputy Governor Debelle.