T-Notes last +0-01+ at 128-14, in a tight...>

US TSYS: T-Notes last +0-01+ at 128-14, in a tight range in early Asia trade.

- Optimism surrounding the Sino-U.S. trade war on the back of the latest weekly

MOFCOM press conference boosted risk appetite in early London hours, with spill

over through the NY morning.

- The Tsy sell-off halted in the early part of the NY afternoon, with T-Notes

bottoming out then, but 10-Year yields still closed above the previously

mentioned Sep high, after retracing from extremes. A RTRS sources piece pointing

to fierce internal opposition in the White House from outside advisers re:

rolling back tariffs put a fresh layer of bids in later in the day, but T-Notes

were still notably lower on the session.

- The broader based pre-auction concession couldn't prevent the 30-Year yield

from tailing (0.6bp), although the cover ratio was steady, in line with the

recent avgs, while dealer takedown eased as direct participation ticked higher.

- Flash UoM sentiment data and addresses from Fed's Bostic & Daly are due ahead

of the weekend.