Tsys were pressured by a stronger......>

US TSY/RECAP: Tsys were pressured by a stronger US$ on Friday going out at/near

the lows, with the belly of the cash curve underperforming, although comments

from President Trump re: the possible imposition of tariffs on China provided

support, also weighing on equities for the bulk of the session, with similar WSJ

reports over the weekend i.e. tariffs set to be implemented over the coming days

& that China is considering avoiding the trade talks scheduled between the 2

nations later this month/supply chain squeezes that will effect U.S. companies.

- Retail sales data was weak, although prev. readings were revised higher.

- Fed's Evans green-lighted steady rate hikes (wouldn't be surprised to see 2

more this year), although he noted that inflation is "not going to run away".

- Elsewhere the San Francisco Fed named Mary Daly as its next President,

effective October 01.

- Eurodollar futures were steady to lower at the bottom of a tight range.

- Cash Tsy markets are closed until the London open owing to a Japanese market

holiday.

- T-Notes last 119.05, U.S. 10-Year cash Tsy yields closed at 2.996% on Friday.