T-Notes continue to hold in a tight.........>

US TSYS: T-Notes continue to hold in a tight range, operating around Friday's

settlement levels for the duration of the Asia-Pacific session, after lacking

follow through below Friday's low in early trade. Yields are marginally lower

across the curve, with the belly leading.

- RTRS source reports suggesting "U.S. negotiators have tempered demands that

China curb industrial subsidies as a condition for a trade deal after strong

resistance from Beijing" had little effect on the space. Warmer trade tones

between the U.S. & China continue to be evident, but there is little in the way

of a decisive breakthrough, yet. Conversely, EU-U.S. trade worries continue to

escalate, while U.S. Tsy Sec Mnuchin outlined the need for currency provisions

in U.S.-Japan trade.

- Trump continues to berate the Fed via Twitter, while the weekend saw ECB

President Draghi hint that he is worried about the Fed's Independence.

- Small buying interest was noted in TYK9 124.00 calls overnight.

- Eurodollar futures trade unchanged to 0.5 tick lower through the reds.

- T-Notes last 123.04, U.S. 10-Year cash Tsy yields last 2.554%.