T-Notes had moved back from their early.....>

US TSYS: T-Notes had moved back from their early Asia-Pac highs, which were

inspired by a sell-off in U.S. equity index futures after Wall St. closed (on

Alphabet & Amazon earnings), as Asia-Pac shares traded a touch higher early on.

- However, it would seem that USD/CNY & USD/CNH's respective moves above

yesterday's highs, aided by the 1st PBOC USD/CNY fix > CNY6.9500 since Jan '17,

is weighing on risk appetite, which has put a modest bid back into the space.

- Fed hawk Mester spoke, with BBG running headlines where she stated that the

IOER may be subject to technical adjustments moving forwards. RTRS ran

subsequent comments from Mester as she suggested that MonPol is "still

accommodative, and rates need to be raised into neutral territory."

- Elsewhere Fed dove Kashkari spoke via a WSJ Op-Ed, suggesting that the Fed

should "pause interest-rate hikes to help the labor force grow."

- Notable Tsy options flow: TYZ8 117.50 puts paper paid 0.09 on ~5.0K.

- Eurodollar futures volume is running at a healthy enough level.

- Focus Friday turns to U.S. Q3 GDP.

- T-Notes last 118.24+, U.S. 10-Year cash Tsy yields last at 3.105%.