Continued concern over US-China trade..........>

STIR: Continued concern over US-China trade relations have weighed on markets

despite headlines this morning confirming that Vice Premier He will visit the US

on Thurs and Fri this week. The Eurodollar futures curve has flattened with

Whites unch - 1 tick higher, Reds 1.5-2 ticks higher, and Greens and Blues 2.5-3

ticks higher.

- Sentiment has also not been helped by another poor German factory orders

print. The Y/Y number increased slightly from last month but is still the third

worst print since 2009 and coming in at -6.0% disappointed expectations of a

-5.4% fall. The Euribor strip has also steepened with Whites 0.5 ticks higher,

Reds and Greens 1 tick higher and Blues 2.5-2.5 ticks higher.

- Talks are continuing on a Brexit deal between the Tories and Labour but there

are conflicting reports on the probability of success. ITV are reporting there

is almost no chance of a deal while May is so weak while the BBC are reporting

that a deal is not completely out of the question. Short sterling Whites are

unch to 1.5 ticks higher with the rest of the strip 2-2.5 ticks higher.