Core FI respected familiar ranges in...>

BOND SUMMARY: Core FI respected familiar ranges in today's fairly subdued

Asia-Pac session. Liquidity was limited by a market holiday in Japan. Cautious

mood was evident early doors, as investors weighed the latest round of U.S. Pres

Trump's combative comments re: trade relations with China. That being said, risk

sentiment improved gradually, helped by a stronger than exp. PBoC fix. T-Notes

trade +0-01+ at 129-23+ after round tripping from a session high of 129-26 in

sync with the S&P 500 futures' brief foray into the red. Eurodollars trade -1.0

to +1.0 tick thru the reds. Cash Tsys were not traded amid Japanese mkt closure.

- Aussie bond futures edged higher from the off before consolidating; YM is

unchanged at typing, while XM sits 1.5 tick lower. Aussie yield curve runs

steeper a tad, with yields trading -0.3bp to +1.2bp. Bills last seen unch. to 1

tick higher through the reds. A$400mn of 3.25% 21 Jun 2039 ACGBs was offered at

an auction earlier today, drawing a slightly higher cover ratio than last time.

- Bunds -0.08, Bobls unch., Schatz -0.005. Focus in Europe will likely fall on

Rome as Fitch affirmed Italy at BBB with negative outlook after hours on Friday,

while the country's political situation remains complicated.