The aforementioned swing in risk.......>

BOND SUMMARY: The aforementioned swing in risk tone pressured T-Notes, although

they still sit some way above settlement levels, +0-15+ at writing, with the

long end underperforming on the curve for the duration of the session. Yields

now higher on the day across the curve. It was another choppy overnight session,

punctuated by thinner liquidity, with the Fed's latest round of liquidity

operations and broader scope for FI purchases/announced ops doing little to take

the edge off of things, for now.

- JGB futures whacked lower in Tokyo hours, some pointed to unwinds of FX-hedged

trades from off shore, with the moves seen in USD/JPY x-ccy basis. Elsewhere, a

lack of take up at the BoJ's latest round of repo ops, and a hastily announced

5-10 Year round of BoJ Rinban operations were also seen. Contract still 85 ticks

lower on the day. Curve twist flattened, swaps notably tighter.

- Aussie bonds were hit hard on the back of the turnaround in risk, with

domestic equities staging an almighty recovery, and then some. YM -12.0, XM

-21.0 come the close. Funding pressures still evident with 3-Month Bill/OIS back

to the top of the recent range.