Matters surrounding the coronavirus....>

BOND SUMMARY: Matters surrounding the coronavirus situation continued to capture

attention in Asia hours. A clarifying statement from the White House, noting

that they have not called airlines re: suspending flight traffic to & from China

weighed on Tsys, with T-Notes having a look through Tuesday's lows before

recovering from worst levels, last -0-03+ at 130-16, with yields little changed

across the curve.

- JGB futures have tried to fill the gap from Friday's close, but are struggling

for any real downside impetus, last -6. Lows were hit in early afternoon trade

after the average spreads applied across the BoJ's 1-10 Year Rinban ops ticked

higher, even as the offer to cover ratios moderated vs. prev. ops. Curve has

twist flattened during the afternoon session.

- Aussie bond futures ticked lower on the release of local CPI data, which

topped market consensus & prompted the trimming of RBA easing bets. IBs price a

mere ~10% chance of a rate cut at the RBA's meeting next week. YM -6.0 & XM

-7.5. Bills last 5-6 ticks worse off through the reds.