T-Notes edge lower, -0-02+ at 128-05+.......>

US TSYS: T-Notes edge lower, -0-02+ at 128-05+. Contract recovered from EU

session lows Friday, in a quiet end to the last full trading week of '19, with

light volume apparent. Chunky block buying in FVH0 helped the move away from

worst levels in NY hours. No tangible reaction to local data, with personal

spending/income better than exp. on net & a modest uptick for the PCE core

deflator. Space also chose to look through the latest round of White House

commentary re: trade & the Fed from Messrs Trump, Navarro & Ross.

- Weekend comments via Xinhua saw Chinese President Xi note that while

differences may appear in the bilateral economic and trade cooperation,

difficulties can be overcome if the two sides stick to the "mutually beneficial

mainstream" while promoting the relationship development forward. Elsewhere, Xi

also stressed that China is "gravely concerned over the negative words and

actions of the U.S. on issues related to Taiwan, Hong Kong, Xinjiang, and

Tibet," which interfered with China's internal affairs and damaged its

interests.

- U.S.-North Korea tensions continue to boil in the background.