Market largely shrugging off........>

US TSYS SUMMARY: Market largely shrugging off (somewhat predictable) escalation

in China-related geopolitical tensions, including Chinese lawmakers approving

controversial security legislation in Hong Kong, as expected.

- That said, equities remain rangebound, and Tsys have slowly headed higher over

the European session. Jun 10-Yr TYs up 1/32 at 139-5 (L: 138-30.5 / H: 139-07)

- Volumes roughly equal between TYM0/TYU0; Friday is Jun First Notice.

- Curve mixed: The 2-Yr yield is down 0.4bps at 0.176%, 5-Yr is down 1.7bps at

0.3305%, 10-Yr is down 0.7bps at 0.6754%, and 30-Yr is up 0.1bps at 1.4406%.

- 0830ET sees most of the day's key data: most key is jobless claims (initial

and continuing), as well as Apr durable goods, and 2nd reading of Q1 GDP.

- Four auctions: 4W/8W bills for total $150bln at 1130ET, plus $38bln 7Y note

and $40B of 154-day CMB at 1300ET. NY Fed buys ~$5bln today incl Tsy and TIPS.

- NY Fed's Williams participates in a Q&A at 1100ET (following Wednesday's

comment that the Fed is "thinking hard" about Yield Curve Control), while

Philly's Harker is up at 1500ET.