Core global bonds have drifted lower...>

BOND SUMMARY: Core global bonds have drifted lower in Asia-Pacific hours, to

flirt with their respective post-FOMC lows, although there has been little in

the way of headline catalysts apparent, allowing markets to fully digest the

latest FOMC MonPol decision.

- BBG headlines from the North Korean foreign minister suggested that Trump &

Kim are willing to hold a third summit, although this had little impact on the

global FI space.

- T-Notes last trade at 123.16+, U.S 10-Year cash Tsy yields closed at 2.500%

Eurodollar futures trade 1.0 to 3.0 ticks lower through the reds.

- In Australia, YM trades 2.0 ticks lower on the day, with XM -0.5 tick. YM/XM

trades at 53.0 ticks, with the cash equivalent at 48.9bp. Bills trade 1-2 ticks

lower through the reds.

- German fixed income futures returned from the Labour Day holiday, and edged

lower, in sympathy with the broader trend. Schatz -0.5 tick, Bobls -7.0 ticks,

Bunds -19 ticks.