Core FI remain range-bound in early....>

BOND SUMMARY: Core FI remain range-bound in early trade amid little potential

market movers in the way of fresh headlines or data. T-Notes last trade -0-02 at

130-10. Cash Tsy yield curve has twist steepened at the margin. Eurodollar

contracts last seen 0.5-1.5 tick lower through the reds.

- JGB futures have eased off highs, last seen 7 ticks above settlement at

154.80. Cash JGB yields are sitting a touch lower across the curve. Little to no

reaction observed to the release of mixed PPI data out of Japan.

- In Australia, YM last deals 1.0 tick higher, with XM 3.0 ticks higher, both

slightly shy of highs. Aussie yield curve runs flatter, with yields sitting

0.5-4.1bp lower. Bills are trading unch. to 2 ticks higher through the reds.

Focus turns the supply of A$150mn of 0.75% 21 Nov 2027 I/L bond, due at the top

of the hour, and NAB biz. conf. survey, due half an hour later.

- No reaction noted to a speech from RBA Asst Gov Kent, who said that the recent

interest rate cuts are working their way through the economy. In Q&A he added

that unconventional policy tools remain an option, albeit an unlikely one.