US Treasuries are trading...........>

US TSYS SUMMARY: US Treasuries are trading slightly on the back foot, weighed by

earlier block sell in Tsy futures as little seen to direct markets ahead of key

US data later this afternoon. Tsys bounced off lows though thanks to a Tsy/Bund

block. 10-yr T-note yield is 1bp higher at 2.8840% having traded in a range of

between 2.8694% & 2.8894%. Yields has shifted higher by circa 1bp across the

curve. 

- Trade was muted during Asian session but Treasuries ticked lower taking cue

from fall in Aussie Bonds and brushing off EM market and trade concerns.

- TYZ8 future then hit session low of 120-03 shortly after start of London

session, weighed by block sell at 120-04+ for 12,171 contracts. The future

though bounced off lows as a Tsy/Bund spread block went through; 11k TYZ8 bought

at 120-04 vs selling 5k RXZ8 at 160.16. Overall though session is muted as

markets await key US non-farm payroll and average weekly earnings data later.

TYZ* last 1 tick lower at 120-04+

- Eurodollar futures are steady to 1 tick lower with curve little changed in

light volume. While breakevens are little changed as well.