US Tsys are trading modestly........>

US TSYS SUMMARY: US Tsys are trading modestly lower, but are just ticking off

session lows, ahead of NY open weighed by move lower in German Bunds and UK

Gilts on back of mild risk-on sentiment, albeit in very light volume.

- US 10-yr Tsy yield is 0.7bp higher at 2.834% while 2-yr is +0.8bp higher at

2.586%.

- There was no Tsy flows overnight in Asia due to national holiday in Japan, but

once European markets opened, Tsys slipped lower taking cue from fall in German

Bunds. Squeeze higher in European equities then added a little more downward

pressure on Tsys, however, volumes were very thin. While there was little in the

way of data or official comments to direct markets.

- US retail sales for Jun and Jul Empire mfg are the main highlights for Monday,

along with any headlines on US President Trump's meeting with Russian President

Putin. 

- Eurodollar futures are 0.5 to 1.5 ticks lower with red contracts coming under

the most selling pressure.