T-Notes tick higher in early Asia trade.....>

US TSYS: T-Notes tick higher in early Asia trade on the back of the U.S. TR

proposing $2.4bn worth of levies on French products in the wake of the digital

tax that France is enforcing. The U.S. is also considering probing Turkey,

Austria & Italy on digital tax matters. Contract last +0-04+ at 129-01+.

- Monday saw the contract soften, but correct from worst levels, on the back

softer than expected m'fing ISM data and uncertainty around further retaliatory

measures from China on the back of the HK Bill issue. Elsewhere, Trump opened a

fresh trade/currency offensive against Brazil & Argentina.

- Pre-NY trade saw the space pressured by stronger than expected Chinese PMI

data and growing speculation re: fiscal stimulus from the likes of New Zealand,

Japan & Germany.

- The second round of term repo covering year end saw oversubscriptions, which

resulted in the NY Fed increasing the Aggregate Operation Limit for the 28-day

repo operation scheduled for 12/9/2019 from 'At least $15 billion' to 'At least

$25 billion'.