The developed FI space has come........>

BOND SUMMARY: The developed FI space has come under pressure after Chinese

President Xi noted "substantial progress" in trade talks with the U.S. and

called for an early conclusion of a bilateral deal. Subsequent remarks came from

Chinese VP Liu, who noted that "a new consensus [with Washington] has been

reached," capped recovery attempts.

- T-Notes last trade -0.04+ at 123.13, with cash yields trading 1.0 to 1.5bps

higher across the curve. Eurodollar contracts are trading unchanged to 1.5 ticks

lower through the reds.

- JGB futures last seen at 152.81, 2 ticks below settlement. Yields are seen

0.9bps lower to 1.4bps higher across the curve. Little reaction was noted to

domestic data releases. Japanese MoF will offer Y1.34tn 3-Month bills today.

- Aussie bond yields are trading 0.8 to 1.2bps higher across the curve. YM last

trades 1.0 tick lower, XM sits 0.5 ticks lower, with YM/XM unchanged at 50.00.

Bills are trading 1-2 ticks lower through the reds. Participants look to the

release of the weekly AOFM issuance schedule later today after broader headlines

negated any impact from the latest round of ACGB supply.