T-Notes in a 0-03 tick range, +0-02+...>

BOND SUMMARY: T-Notes in a 0-03 tick range, +0-02+ at 128-17, yields little

changed across the curve. U.S. Tsy Sec Mnuchin noted that the enforcement

mechanism in the Sino-U.S. trade deal is "very strong" & will be "binding for

the entire deal." There was a seller of TYF0 128.00/129.00 strangles, at least

partially buying TYG0 127.50/129.50 strangles against. Eurodlr futs unch. to

+0.5 tick thru reds. EDU0U2 spread saw 1.8K lots given in one clip. This comes

after 2 clips were sold in similar volume during yesterday's Asia-Pac session.

- RTRS & BBG source reports pointed to slightly lower JGB issuance in FY2020/21,

which supported the JGB space, although the super-long end lagged in cash trade,

on chatter of increased 40-Year JGB issuance from the same sources. The BoJ left

the size of its 1-10 Year Rinban ops unch. Offer/cover ratios little changed.

Yield spreads were tighter.

- Little to pen for Aussie bonds. YM & XM -3.5. Bills 1-4 ticks lower thru reds.

- The was little notable reaction in core FI to a 5bp cut in the rate applied to

the PBoC's 14-day reverse repo ops, which was the first cut in the metric in

nearly 4 years.