USTs closed yesterday's NA session.....>

BOND SUMMARY: USTs closed yesterday's NA session on a strong footing and

strength continued through the Asian session, hitting a nadir just before

7:30GMT. Some of these gains have since been retraced but TY1 remains 0.078

higher on the day at 121.953 with 10y yields 0.7bp lower at 2.710% and 2y yields

0.8bp lower at 2.537%.

- Bund futures followed a similar pattern higher, with cash Bunds gapping higher

at the European open. RX1 is up 0.25 at 165.77 with 10y Bund yields down 1.5bp

at 0.153% and Schatz yields down 0.3bp at -0.506%.

- Gilts have also moved higher this morning, but have continued to move higher

in the face of retracement in UST and EGBs. Gilt futures are 0.24 higher at

123.40 with 10y yield down 2.3bp at 1.265% and 2y yields down 2.6bp at 0.779%.

- EGB spreads to Bunds are generally unch to a basis point wider on the day,

with the exception of Greece, where spreads have widened 3.4bp following

yesterday's syndication.

- US ADP, the Beige Book and the Bank of Canada rate decision are the highlights

of the day with two BoE speakers and three Fed speakers.