Not much doing for U.S. Tsys in early.......>

US TSYS: Not much doing for U.S. Tsys in early trade this week, with the latest

round of optimism in e-minis shrugged off by the Tsy space, as the latter was

seemingly limited by the ongoing Sino-U.S. tension, despite there being nothing

in the way of concrete retaliation from China re: the recent U.S. actions

against Huawei (granted there has been verbal jousting/source reports pointing

to potential countermeasures). Worth noting that this may just be a product of

the U.S. administration catching China off guard and Chinese authorities needing

some time to respond. T-Notes last +0-00+ at 139-11, holding a 0-04+ range

overnight, with yields 0.4-0.8bp richer across the curve ahead of European

hours. Also worth flagging Fed Chair Powell's latest address via CBS, in which

he painted a relatively gloomy economic outlook (as you would expect against the

current backdrop) and once again pushed back again the idea of negative rates,

although he was keen to stress that the central bank can do more and is not out

of ammo.

- Eurodollar futures +0.5-1.0 through the reds.

- An address from Fed's Bostic headlines locally on Monday.