Core FI softened in spite of an........>

BOND SUMMARY: Core FI softened in spite of an absence of any fresh bright spots

in U.S.-China relations or elsewhere. News-wise, Fedspeak from Chair Powell re:

imminent T-Bill purchases program was overshadowed by trade matters ahead of

Thursday's negotiations between high-level reps form U.S. and China. Meanwhile,

the White House refused to take part in the ongoing impeachment probe, while

Turkey said its forces will cross the Syrian border shortly. T-Notes last trade

-0-01 at 131-21+, off the 131-26 session high. Cash Tsy yield curve is a touch

higher & steeper. Eurodollars trade -1.5 to +0.5 tick through the reds.

- JGB futures slipped after a higher open, last trade at 155.02, 7 ticks above

settlement. Cash JGB yields oscillate around unch. Levels.

- In Australia, YM is unch. & XM +1.0 tick. A soft Westpac cons. conf. reading

triggered a knee-jerk uptick in the space as headline index slid to a 4-year

low. ACGB yields sit 0.2-1.2bp lower, with minor curve flattening apparent.

Bills last seen -1 to +1 tick through the reds. The AOFM tapped the market for

A$800mn of 2.75% 21 Nov 2029 ACGBs; bid to cover was 2.2750x vs. the prev.

4.0000x, but the size of the auction (A$800mn) was larger than normal.