T-Notes have edged higher, as...............>

US TSYS: T-Notes have edged higher, as Iran-Israeli tensions simmer, with

reports of missiles being fired between Israel & Iranian assets in Syria

supporting the space, which has allowed the curve to flatten, as 10-Year yields

trade back below 3.00%.

- Elsewhere, news flow has centred on China-US trade relations, with MOfCom

reiterating its plea to the US to reassess its trade stance.

- The latest 10-Year note auction passed smoothly with a steady bid to cover

ratio, minor tail & smaller takedown as indirect participation edged higher.

- The white & red Eurodollar contracts are trading unch. to 0.5 tick higher.

- Focus on Thursday will fall on US CPI data & 30-Year supply, with participants

also keeping an eye on the BoE MonPol decision & QIR, as well as the press

conference headed by BoE Gov. Carney.

- T-Notes last at 119.09, Tsy ylds: 2Y 2.530%, 3Y 2.680%, 5Y 2.835%, 7Y 2.952%,

10Y 2.997%, 30Y 3.150%