Core global FI markets continued to fade....>

US TSYS: Core global FI markets continued to fade away from their respective

Monday highs in Asia hours, but there really was very little to write home

about. There has been little in the way of hard line, tangible escalation in

U.S.-Iran tensions evident thus far this week, outside of the war of words. But,

it is worth remembering that Iran is still in a national state of mourning and

that the red flag is still hoisted above a mosque in Qom, Iran. Elsewhere, we

heard that China will not change its agricultural import quotas to accommodate

any increased purchases from the U.S., per a senior government official.

- T-Notes stuck to a 0-05 tick range in Asia hours, last -0-01+ at 129-06+, with

yields marginally mixed across the curve in cash trade. On the flow side, the

standout was buying of the TYH0 & TYG0 130.00 calls.

- Eurodollar futures sit 0.5 tick higher to 1.0 tick lower through the reds.

There was a 10.0K block buyer of the EDZ0 98.625/98.875/99.000 broken call

ladder at 0.00.

- Non m'fing ISM, monthly trade data and final durable goods will cross on

Tuesday, with the latest round of 3-Year supply also due.