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

US TSYS: T-Notes continue to operate in a tight range after Apple's earnings

results/subsequent U.S. equity future strength & a marginally stronger than

expected Australian CPI release applied some modest pressure in early Asia-Pac

trade.

- Overnight option flow focused on the downside, with decent activity noted in

TYH9 122.50 calls (~18K traded all day), sellers dominated the flow, with talk

of delta hedging doing the rounds. Elsewhere, 15.0K of the TYJ9 121.00 puts were

blocked, with sources pointing to a buyer.

- Yields across the curve are marginally mixed on the day, with the belly

continuing to modestly underperform the wings.

- The Eurodollar strip trades unchanged to 0.5 tick lower through the reds.

- T-Notes last 121.22+, U.S. 10-Year cash Tsy yields last 2.715%.