Treasuries ended off day's lows Mon....>

US TSY/RECAP: Treasuries ended off day's lows Mon after late month-end buying in

Tsy futures: buying in TYU 10Y futures from 125-28.5 to 29.5 and also FVU 5Y

futures and UXU Ultra bond futures blocks. Tsys saw earlier muted 2way flow,

mild curve steepening, 

- Treasuries began NY lower after overnight 2way flow including Asian safe-haven

bid amid another N.Korea ICBM missile firing, then decline with German Bunds on

higher German retail sales, and a surprise Eurozone core inflation rise. Tsy had

a 10Y Ultra futures block done via screens at 5:35am ET: 2,441 UXYU7 at 135.01. 

- Tsys had mild early corporate rate-locks hedges on heavy US$ high-grade bonds

issuance. Bonds reacted little to lower 58.9 July MNI Chicago Business Barometer

tho light buying by fast$ in 10s, real$ in 30s pulled futures off low. Tsys dip

buying on EGBs month-end buying: Bloomberg Barclays Pan-Euro Agg Tsys index had

large 0.12 yrs advance estimated extension, 0.06yr US Tsys index. 

- Mild Tsy steepeners. Tsy 5Y tight in O/N RP.

- T-Notes open Asia at 125.27, 10-Year yield last 2.294%.