Mildly weaker by the close,............>

US TSY FLOWS: Mildly weaker by the close, reversing early support on US/China

trade headlines (U.S., CHINESE NEGOTIATORS PLANNING FOR DELAY OF DEC TARIFFS:

DJ) spurred unwinds in Tsys as equities blip higher. No deal is certain: KUDLOW

SAYS THE REALITY IS DEC. 15 TARIFFS `STILL ON THE TABLE', Bbg. 

- ON USMCA trade deal, democrats hoped for vote next week -- but McConnell says

Senate will not take up USMCA vote until 2020.

- Two way-session flow, position squaring ahead Wed's FOMC policy annc, no

change expected. Eurodollar futures 5,000 EDH0 1yr bundles (EDH0-EDZ0), -0.020.

- Second consecutive auction right on the screws US Tsy $24B 10Y note auction

(912828YS3) awarded 1.842% rate (1.809% last month) vs. 1.842% WI; 2.43

bid/cover (2.49 previous). 

- Swap spds reversed early widening, grinding to session narrows over last hour

as two-way flow in intermediates turn better receivers, spilling over to short

end, some position squaring ahead Wed's FOMC policy annc, light deal-tied flow

in 3s. The 2-Yr yield is up 3.9bps at 1.6517%, 5-Yr is up 2.5bps at 1.6809%,

10-Yr is up 1.6bps at 1.8346%, and 30-Yr is up 0.5bps at 2.2596%.