Chinese policymakers' attempts to support...>

US TSYS: Chinese policymakers' attempts to support sentiment and belief in the

ability to deal with the fallout from the Coronavirus (namely via PBoC liquidity

injections, the PBoC USD/CNY fix & talk of life insurers being summoned to

participate in domestic equity markets) supported broader risk appetite on

Tuesday, with the bounce in the Shanghai Comp. setting the broader tone. This

pushed T-Notes lower on the day, closing just off worst levels, as yields

cheapened by 5.6-7.2bp across the curve come the close, as the long end

underperformed.

- T-Notes in a tight range at the re-open, +0-01 at 130-29+.

- Also worth re-highlighting that Buttigieg has a narrow lead over Sanders with

62% of Iowa precincts reporting thus far in the Democratic caucus, while Sanders

has a slight lead in the popular vote.

- Stronger than expected factory orders data was also seen.

- Looking to Asia-Pac hours, President Trump's State of the Union address and

Chinese Caixin services & composite data will be eyed.