Better bid this afternoon

A calmer afternoon session for EGBs with most contract trading within this morning's range.

• Bund tested yesterday high at.170.31, printed 170.32 today.
• Peripheral spreads are more mixed, with Italy and Greece 2bps tighter, while Portugal is 0.4bp wider.
• Curves have flattened as we corrected some of yesterday's sell off.
• Gilts have tightened somewhat versus the German 10yr, by 0.8bp on so far.
• Main story for the UK has been the relentless selling of the British Pound, as supplies concerns continues to weigh on the currency.
• Looking ahead, we still have plenty of speakers, ECB Lane, Lagarde, Fed Powell, Bostic, Daly, and BoE Bailey
• Dec Bund futures (RX) up 37 ticks at 170.23 (L: 169.61 / H: 170.32)
• Germany: The 2-Yr yield is down 0.6bps at -0.689%, 5-Yr is down 1.7bps at -0.566%, 10-Yr is down 2.3bps at -0.222%, and 30-Yr is down 2.4bps at 0.24%.
• Dec Gilt futures (G) up 24 ticks at 125.81 (L: 125.6 / H: 125.89)
• UK: The 2-Yr yield is down 2.6bps at 0.383%, 5-Yr is down 2.6bps at 0.602%, 10-Yr is down 2.7bps at 0.967%, and 30-Yr is down 2.1bps at 1.304%
• Dec BTP futures (IK) up 57 ticks at 152.54 (L: 151.88 / H: 152.66)
• Dec OAT futures (OA) up 37 ticks at 166.34 (L: 165.76 / H: 166.43)
• Italian BTP spread down 1.9bps at 103.5bps
• Spanish bond spread down 0.1bps at 64bps
• Portuguese PGB spread up 0.6bps at 54.7bps
• Greek bond spread up 1.8bps at 107.3bps