Central bank action headlines..........>

BOND SUMMARY: Central bank action headlines today's docket after the expected

25bps rate cut from U.S. FOMC, accompanied by signals of serious fractures among

members with regards to the future outlook. On the news front, finger-pointing

triggered by the recent drone attack on Saudi oil facilities continues. We are

waiting for more clarity on touted U.S. sanctions on Iran and Middle Eastern

geopolitics in general.

- T-Notes have sold off lately, now trade -0-07+ at 129-05, slightly above

session lows. Eurodollar futures sitting 1.5-2.5 ticks lower through the reds.

Cash yield curve has experienced some bear steepening.

- JGB futures trade at 154.36, that is 5 ticks shy of settlement, after round

tripping from session low of 154.25. Cash JGB yields are slightly higher. The

Bank of Japan will deliver its monetary policy decisions later today, subsequent

presser with BoJ Governor Kuroda will likely start around 14:30JST/06:30BST.

- Australian YM trades +3.0 ticks, XM also +3.0 ticks. Bills last seen 2-3 ticks

better off through the reds. Aussie bond yields sit 2.5-3.2bp lower across the

curve. Coming up at the bottom of the hour is the key local labour mkt report.