T-Notes have stuck to a tight range.........>

US TSYS: T-Notes have stuck to a tight range during Asia-Pacific hours, with a

lack of notable headlines evident and heavy event risk apparent over the next 36

hours or so. The contract last trades -0-03 at 127-11+, with yields 0.2-0.6bp

lower across the curve in cash trade.

- Small pockets of TUU9 buying were noted in early Asia hours, but flow has been

limited otherwise.

- Eurodollar futures deal unchanged to 1.0 tick lower through the reds.

- The latest U.S. Treasury estimate (released late Monday) suggested that it

will borrow $433 billion of net marketable debt in the third quarter of 2019,

assuming a $350 billion cash balance on September 30. Previously, the Treasury

estimated it would borrow $160 billion in the quarter, with a $85 billion cash

balance at the end of September. The larger borrowing estimate was due to

"changes in cash balance assumptions," the Treasury said.

- Focus Tuesday turns to the latest PCE reading and any comments stemming from

the U.S.-China trade talks in Shanghai.