Safe-haven bonds are stronger across...>

BOND SUMMARY: Safe-haven bonds are stronger across the board as equities have

weakened, with markets seemingly seeking direction following Thu`s Fed hold.

- Treasuries are slightly higher post-FOMC, though T-Notes are merely back to

levels just prior to midterm election results, as if nothing has happened. Dec18

T-Note future up 6.5/32 at 117-315; curve bull flattening.

- Italy Econ Min Tria and Deputy PM Di Maio reaffirmed that the government will

stick with its budget proposals; EU's Dombrovskis said EDP being considered

against Italy. BTP Dec18 futures off 29 ticks at 121.76.

- Re-emerging doubts over a Brexit deal reached next week and weak internals to

Q3 UK GDP data have helped boost Gilts - Dec18 fut up 36 ticks at 121.54.

- The Dec 18 Bund future is up 37 ticks at 159.74, having traded in a range of

159.43-159.82 today.

- JGBs a touch higher as well, Dec18 futures up 4 ticks at 150.73.

- Rates futures up: ED$ up 2.5-3.0 ticks in Reds-Blues; Blue SStg up 4-5 ticks.

- Focus Friday largely on US - PPI data & UMich sentiment, while Fedspeak picks

up with Williams, Harker & Quarles all due.