A steady afternoon session

A more steady afternoon session for EGBs, with contracts trading within the morning session's ranges.

• Bund trades close to flat, albeit better offered led by some risk off, unwinding the overnight Asian bid session.
• Peripherals have recovered from yesterday's sell off, as Taper trade are becoming favoured.
• The recovery in semi core translates to tighter spreads, with Italy by 1.5bp.
• Looking ahead, SNB's Jordan speaks at Atlanta Fed panel on dollar, and Fed Kaplan is also scheduled.
• Jun Bund futures (RX) down 2 ticks at 168.84 (L: 168.71 / H: 169.14)
• Germany: The 2-Yr yield is up 0.7bps at -0.648%, 5-Yr is down 0.1bps at -0.511%, 10-Yr is up 0.4bps at -0.111%, and 30-Yr is up 0.8bps at 0.454%
• Jun BTP futures (IK) up 22 ticks at 145.21 (L: 144.76 / H: 145.39)
• Jun OAT futures (OA) up 5 ticks at 158.9 (L: 158.66 / H: 159.16)
• Italian BTP spread down 1.4bps at 120.6bps
• Spanish bond spread down 1.8bps at 71.2bps
• Portuguese PGB spread down 2.1bps at 71.2bps
• Greek bond spread down 2.5bps at 118.5bps