- There has been little movement in....>

BOND SUMMARY: - There has been little movement in UST and Bund futures and gilt

futures marginally lower on the day.

- Despite the small moves, there has been a lot of activity overnight in US FI

markets with some midterm strategies probably focusing on more cuts and what

appears to be some unusual unconfirmed flattener positions via ED and 5y.

- The highlight of the morning has been the release of the UK PMI manufacturing

which came in better than expected but the details showed the improvement to

have been driven largely by exporting to the EU ahead of the expected Oct 31

Brexit date. Furthermore the print remains below the 50 breakeven level. There

has been no key data from the Eurozone where most of the region is on holiday

for All Saints Day.

- Looking ahead, there will be focus on US data with the employment report and

ISM manufacturing both due this afternoon as well as a number of Fed officials

speaking including Kaplan, Clarida, Quarles, Williams and Daly.

- TY1 futures are down -0-0+ today at 130-09 with Bund futures up 0.01 at 171.77

and Gilt futures down -0.19 at 132.65.