After hitting new highs, core...........>

EGB SUMMARY: After hitting new highs, core government bonds including Bunds have

been on the descent over the past few hours as some fears about the coronavirus

have subsided amid some reports that the peak of the virus could occur as soon

as the middle of February.

- Peripheral spreads are little moved on the day with the exception of BTP and

GGB spreads which continue to look for a new normal following the weekend events

(Italian regional elections and Fitch's Greek upgrade).

- Bund futures are down -0.64 today at 173.59 with 10y Bund yields up 3.8bp at

-0.349% and Schatz yields up 0.4bp at -0.628%.

- BTP futures are down -0.03 today at 146.77 with 10y yields up 0.2bp at 1.037%

and 2y yields down -0.5bp at -0.157%.

- OAT futures are down -0.56 today at 165.89 with 10y yields up 3.7bp at -0.92%

and 2y yields up 0.9bp at -0.586%.