Bonds have continued their moves.......>

BOND SUMMARY: Bonds have continued their moves higher. Bund futures are now

approaching the levels seen immediately after the April ECB decision, TY1 is

sitting close to the highs of the week while gilt futures are at their highest

levels for two weeks.

- The key data point today will be the first print of US Q1 GDP. Markets are

very sensitive to any growth data at present, so even a small surprise could see

a large market reaction.

- In Europe, S&P are due to announce updated ratings for Italy around 21:00BST

while there are two agencies updating the UK's rating (all exp unch but risk of

a downgrade). Spanish elections are due to be held over the weekend.

- TY1 futures are up 0-4 today at 123-16+ with 10y UST yields down -1.2bp at

2.521% and 2y yields down -3.0bp at 2.303%.

- Bund futures are up 0.10 today at 165.79 with 10y Bund yields down -1.0bp at

-0.20% and Schatz yields down -0.3bp at -0.602%.

- Gilt futures are up 0.10 today at 127.72 with 10y yields down -1.0bp at 1.144%

and 2y yields down -0.6bp at 0.729%.