It has been a news-light session, with......>

US TSYS: It has been a news-light session, with U.S. Tsys edging lower and

T-Note futures sticking to a 3 tick range.

- Fed's George spoke in Asia-Pacific hours, noting that further gradual rate

hikes are needed, although she is unsure how far & how fast the Fed should go.

George is a hawk and a non-voter this year, she will vote in 2019.

- Fed Chair Powell will appear in front of the House Panel on Wednesday, with

Fed's Quarles due to speak on Thursday & Bullard due up on Friday ahead of the

blackout period which goes into force over the weekend.

- It is worth noting that the latest TICS flow data pointed to Russia continuing

to shed it's U.S. Tsy holdings in the month of May. We previously highlighted

that Russia sold just shy of half of its U.S. Tsy holdings during April, leaving

the country with $48.7bn worth of U.S. Treasuries (See MNI ANALYSIS: Russia

Trims U.S. Tsy Holdings, from June 18). The May TICS release showed that Russia

sold another $33.8bn worth of U.S. Tsys, leaving it with $14.9bn worth of U.S.

Tsys.

- T-Notes last at 120.03, U.S. 10-Year cash Tsy yields last at 2.866%.