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A risk-on session following from........>

EGB SUMMARY
EGB SUMMARY: A risk-on session following from Wednesday's U.S. equity rally has
BTPs again pushing higher, though spreads are not compressing as quickly as
Bunds are likewise stronger.
- The Dec 18 Bund future is up 23 ticks at 158.95, with the curve slightly bull
flattening: 2-Yr yield down 1.5bps at -0.578%, 5-Yr down 1.5bps at -0.12%, 10-Yr
down 1.7bps at 0.474%, and 30-Yr down 1.5bps at 1.105%.
- German supply today as DFA sells 2.50% Jul-44.
- Another strong session for BTPs, Dec18 future up 54 ticks at 121.54. Still,
even with cash 10 yield down 5.5bps, spread vs Germany down just 3.8bps at
292.4bps.
- Re other periphery EGBs, Spain, Portugal, Greece spreads to Bunds are flat.
- EU summit begins tonight with UK PM May's address to fellow leaders around
1600GMT re Brexit before dinner; main meetings Thursday.
- Second EMU CPI reading for Sep; details scrutinised for core pressures.
- ECB's Praet up shortly, speaking in Madrid at La Caixa conference(0730GMT);
Bundesbank's Weidmann speaks in Berlin at 1630GMT.

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