Core EGBs are giving up some of the.....>

EGB SUMMARY: Core EGBs are giving up some of the week's gains late Friday, but

Bunds remain in deeply negative territory.

- Stronger-than-expected German/French PMIs helped sink core/semi-core EGBs

early, but softness in EZ-wide numbers (ex-DE+FR) provided support.

- 2-Yr German yield is up 1.8bps at -0.737%, 5-Yr is up 3.5bps at -0.625%, 10-Yr

is up 3.8bps at -0.28%, and 30-Yr is up 4.3bps at 0.296%.

- Euribor strip seeing a bit of bear steepening as well, Blues up 4.5-5 ticks.

- BTP and Greek spreads retracing some of Thursday`s losses which were

associated w the surprise Concambio announcement. Italy 10-Yr 2.7bps tighter to

Bunds at 243.6bps; Greece 5.8bps tighter at 282.8bps.

- Quiet week for ECB speakers coming up, but data kicks off in earnest with

German IFO on Monday morning, with EZ June prelim inflation later in the week.

- Latest EGB futures prices:

* Sep Bund futures (RX) down 60 ticks at 172.04 (L: 171.95 / H: 172.65)

* Sep BTP futures (IK) down 26 ticks at 133.54 (L: 133.42 / H: 134.35)

* Sep OAT futures (OA) down 57 ticks at 164.03 (L: 163.93 / H: 164.58)