Bond markets have been a tale of.......>

BOND SUMMARY: Bond markets have been a tale of three headlines morning:

- First an MNI interview with ECB Vice-President de Guindos in which he said

that September's stimulus package should be given time to bed in and hinted that

rather than further easing Lagarde should concentrate on healing rifts in the

Governing Council. Bunds fell a little on the news.

- Second, a Times story that the EU were ready to offer a counter-concession to

Boris Johnson's plan by requiring the Northern Irish Assembly to need a

double-majority to pull out of the new backstop (i.e. a majority of Nationalists

and a majority of Unionists) saw gilt futures fall back to 134.50. As sources

suggested that this would be unacceptable to the DUP and hence make the deal

very difficult to get through the UK parliament, gilts began to drift higher

once more.

- Third, headlines that China is open to a partial trade deal with the US

despite a tech blacklist with TY1 falling to a low of 131-16+.

- TY1 futures are down -0-3+ today at 131-19 with Bund futures down -0.43 at

174.24 and Gilt futures down -0.44 at 134.73.