Bunds are stronger following weak.......>

EGB SUMMARY: Bunds are stronger following weak factory orders data this morning.

- The Mar 19 Bund future picked up around 19 ticks after the release of Dec

industrial orders showing a -1.6% M/M decline, vs -0.2% (rev.) in November and

below the +0.3% survey. 

- Future last up 9 ticks at 165.58.The 2-Yr yield is up 0.1bps at -0.564%, 5-Yr

down 0.6bps at -0.308%, 10-Yr down 1bps at 0.16%, and 30-Yr is down 1.6bps at

0.76%.

- BTP spreads a little wider, 10-Yr out 1.8bps vs Bunds at 264.3bps, with the

Mar18 future down 7 ticks at 127.37.

- BBG sources piece out earlier saying ECB officials do not see new TLTROs as

urgent, and may not happen in March as has been speculated.

- Spreads out slightly across rest of the periphery but not much, Spain and

Portugal out 0.5bps each, Greece out 1.5bps.

- French spreads flat; 10-Yr OAT/Bund in around 0.4bps, hovering around the

41bps mark.

- No ECB speakers today; key data is already out of the way also.