The weekend saw the release of a Chinese....>

US TSYS: The weekend saw the release of a Chinese White Paper that upheld the

recent hard-line re: the country's trade negotiation stance vs. the U.S., which

when coupled with the ongoing criticism of Mexican & Chinese trade policy from

U.S. Pres. Trump put a bid into the space from the get go. The contract now

trades back from best levels, largely helped by a better than expected Chinese

Caixin m'fing PMI print. Fed's Daly offered little new on the MonPol front,

reiterating that the Fed's patient stance is warranted. T-Notes last +0-04 at

126-28, U.S. 10-Year cash Tsy yields last 2.125%, with some minor twist

steepening evident. The timezone's regular FVN9 put interest came in the form of

the FVN9 116.75/116.25 put spread. Eurodollar futures trade 1.5-5.0 ticks higher

through the reds. ED options flow saw upside clearly in demand amid the early

risk-off flows via the EDU9 97.875/98.000 call spread, EDN9 97.625/97.750 1x1.5

call spread and EDN9 97.625/97.750/97.8750 call ladder. There was also some

small downside interest via the OEM9 98.250/98.000 put spread.

- The ISM manufacturing survey headlines the local docket today, with Fed's

Bullard, Barkin & Quarles all set to speak.