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Positive risk sentiment keeps..........>

BOND SUMMARY
BOND SUMMARY: Positive risk sentiment keeps pressuring core FI. Most regional
equity benchmarks operate in the green, taking their cue from U.S. peers after
S&P 500 printed a record high yesterday. To recap, markets cheered yesterday's
comments from U.S. Pres Trump, who said that the U.S. and China are "ahead of
schedule" with their trade talks & may strike an initial agreement next month.
Elsewhere, the EU accepted the UK's request for a Brexit delay, reducing
uncertainty. T-Notes -0-02 at 129-03; cash Tsy yields are 1.2-1.6bp higher
across the curve. Eurodollars are unch. to 0.5 tick lower thru reds.
- JGB futures finished the morning session at 153.72, 18 ticks shy of
settlement, after bottoming out at 153.64. Cash yields are broadly higher. The
core measure of Tokyo CPI held steady at +0.5% Y/Y, slightly undershooting exp.
The focus turns to 2-Year JGB supply, due later today.
- In Australia, YM - 6.0, with XM -6.5. Aussie bond yields played catch-up to
the overnight move in U.S. Tsys and sit 5.0-5.9bp higher across the curve. Bills
are 4-6 ticks lower through the reds. RBA Gov Lowe will speak later today; ANZ
Roy Morgan weekly cons. conf. index slipped, but has been shrugged by the space.

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