Bull flattening this morning

Fixed income is on the front foot this morning with Treasuries outperforming Bunds which outperform gilts. We have also seen bull flattening across core FI.

• Covid-19 developments continue to be watched with lots of talk that Moderna may be releasing results from their trials (although there is no official confirmation of whether they will come today or later this week).
• Brexit talks continue to dominate the newsflow too (albeit with little in the way of new news yet). Talks are expected to continue throughout the week but there is little clarity on whether we will have meaningful developments before the weekend.
• There is a pretty light data calendar today but a number of CB speakers. ECBs Lagarde, de Guindos, de Cos, Mersch and Centeno. BoE's Tenreyro and Haskel. Fed's Clarida and Daly.
• TY1 futures are up 0-4 today at 138-07+ with 10y UST yields down -2.3bp at 0.875% and 2y yields down -0.9bp at 0.172%.
• Bund futures are up 0.24 today at 175.18 with 10y Bund yields down -1.4bp at -0.563% and Schatz yields down -0.4bp at -0.738%.
• Gilt futures are up 0.11 today at 134.86 with 10y yields down -0.9bp at 0.328% and 2y yields up 0.1bp at -0.37%.