Conflicting Brexit headlines as EGB futures continue to roll

Volumes have been decent in EGBs today with futures rolls continuing at pace.

• As usual, there have been some conflicting reports on the progress of Brexit talks with two highlights this morning. First Irish Foreign Minister Coveney said that he believed there is a "good chance" of a deal in the coming days and said that there are now only two issues to resolve: fisheries and horizontal governance, implying that the issues surrounding the level playing field have been worked out. However, James Crisp at the Daily Telegraph has tweeted that "Simon Coveney has suggested level playing field is done. I am told it isn't by the EU side. But it is in the final stages, senior MEPs said yesterday after a briefing by Barnier."
• Elsewhere we have generally seen some upward surprises to the final PMI services prints (with the exception of Germany which is a tad lower than the flash). Eurozone retail sales beat expectations in October.
• With less than a week to go until the Fed and ECB meetings, there are no major speeches scheduled today. On the data calendar US claim and ISM services data will be the highlights.
• TY1 futures are up 0-3+ today at 137-17 with 10y UST yields down -0.3bp at 0.934% and 2y yields down -0.1bp at 0.159%.
• Bund futures are up 0.35 today at 174.83 with 10y Bund yields down -2.2bp at -0.543% and Schatz yields down -1.1bp at -0.733%.
• Gilt futures are up 0.15 today at 133.81 with 10y yields down -1.0bp at 0.343% and 2y yields down -0.8bp at -0.41%.