- US treasury yields have ticked.......>

BOND SUMMARY: - US treasury yields have ticked lower this morning. The benchmark

10-year treasury has edged down to 2.873% from 2.884%. Following a breakthrough

with Mexico on Monday, the US and Canada are attempting to negotiate a trade

settlement. This could signal a de-escalation in trade tensions between the US

and its allies.

- JGBs trade in a tight range.

- German bunds have rallied slightly this morning with the 2-year yield down to

-0.587% from -0.578% and the 10-year down to 0.391% from 0.408%. The curve is

broadly unchanged.

- The Italian curve is flat on the day.

- Gilts have lacked direction and trade in a tight range. The market is

digesting conflicting comments from EU Brexit negotiation chief Michel Barnier

(indicating the prospect of a special deal) and the UK's Brexit Secretary

Dominic Raab (indicating possibility of no deal).   

- Euro$ futures are 0.5-1.5 ticks higher. Euribor futures flat to 1.0 ticks

higher.