Core EGBs are a touch higher after......>

EGB SUMMARY: Core EGBs are a touch higher after grinding higher for most of the

day, while BTPs have recovered losses, and periphery spreads are tighter.

- The Jun 19 Bund future is up 10 ticks at 165.5, preserving most gains

following terrible Factory Orders figures earlier in the session.

- The 2-Yr yield is up 0.1bps at -0.581%, 5-Yr is down 0.9bps at -0.414%, 10-Yr

is down 1.4bps at -0.006%, and 30-Yr is down 3.6bps at 0.634%.

- Jun 19 BTP future up 25 ticks at 129.14, having traded as low as 128.50.

- 10-Yr BTP/Bund spread is down 0.9bps at 252.4bps; Portugal flat; Greece down

3bps; Spain down 1.5bps (doing well considering supply this morning).

- 10-Yr OAT yields down 3bps (last 0.367%) following solid auction this morning;

spread to Bunds at 37.3bps, down 1.7bps.

- Not much reaction to ECB minutes; Draghi and others had already publicly

stated  potential forward guidance on rate hold through March 2020 instead of

end-2019; little on TLTROs, with more info 'in due course'.

- Decent slate of data Friday includes German industrial production.