T-Notes last print -0-01 at 139-12+ after...>

US TSYS: T-Notes last print -0-01 at 139-12+ after edging higher during a

rangebound Thursday session.

- The curve bull flattened on Thursday, driven by continued Sino-U.S. sabre

rattling, centred on the latest batch of headlines from U.S. President Trump and

a larger than expected initial jobless claims print (the silver lining here is

that claims are on a declining trend, although that provides little solace,

given the current backdrop).

- Elsewhere, focus in the Eurodollar space fell on the latest note from Credit

Suisse's Zoltan Pozsar, who suggested that LIBOR/OIS will compress to 10-20bp by

the end of June (due to US$ swap lines and prime MMF inflows), which allowed the

front end of the Eurodollar strip to recover from lows during NY trade.

- Focus in Asia hours will fall on the monthly Chinese economic activity data,

ahead of Friday's U.S. data deluge.