Focus has remained on yesterday's......>

BOND SUMMARY: Focus has remained on yesterday's Fedspeak, which continues to

prop up the core FI space. Fed Chair Powell highlighted several downside risks

leaving a 25bp cut in July firmly on the table, a move that was once again

backed by voting dove Bullard. Meanwhile, FOMC Jun MonPol meeting minutes

underscored the idea that the support for rate cuts is gaining traction.

- T-Notes have ticked higher and last trade +0-05 at 127-19. Cash Tsy yield

curve runs flatter, with yields sitting 1.2bp to 2.1bp lower. Eurodollars last

seen 0.5 tick lower to 2.0 ticks higher thru the reds. Powell's testimony will

resume today, with a number of his Fed colleagues also queueing up to speak.

- JGB futures remain bid ignoring the fact that the Nikkei 225 operates in the

green; they last trade at 153.66, 14 ticks above settlement. JGB yield curve has

bull flattened. Today's docket features an enhanced liquidity auction for off

the run 5-15.5 Year paper.

- In Australia, YM last trades 3.0 ticks higher, with XM 2.0 ticks higher.

Aussie bond yields are trading 0.7bp to 2.9bp lower across the curve, which has

bull steepened. Bills are trading 1-3 ticks higher through the reds.