T-Notes hover just above session lows at....>

US TSYS: T-Notes hover just above session lows at writing, albeit after sticking

to a tight range overnight, with modest bear flattening apparent in cash as

Asia-Pacific equities moved higher, alongside U.S. equity futures. There has

been little in the way of notable news. Fed voter & dove Bullard warned against

the recent 3-Month/10-Year curve inversion as a sign of impending recession.

- Late NY hours saw Fox Business (a typically pro-Trump station) reveal that

their sources in Chinese gov't have suggested that the Chinese were "waiting on

the Mueller Report to see if it would damage President Trump. Now that they

believe it will not hurt the President they are more serious about a deal & went

further than before in trade talks." Top level trade talks continue in Beijing,

ahead of next week's return visit in the U.S. Tsy Secretary Mnuchin noted that

he had a "productive working dinner" in Beijing on Thursday.

- Eurodollar trade has seen better selling, with futures 2.0-4.0 ticks lower

through the reds.

- PCE & Chicago PMI headline the slate. Fedspeak is due via Quarles & Kaplan.

- T-Notes last 124.11+, U.S. 10-Year cash Tsy yields last at 2.400%.