Core EGBs have been boosted this........>

EGB SUMMARY: Core EGBs have been boosted this afternoon by a rise in US Tsys,

with risk-off the global tone for most of Tuesday.

- Sep Bunds are around their all-time closing high, last up 40 ticks at 172.87

(L: 172.45 / H: 172.89). Move higher this afternoon triggered by big misses in

U.S. data (new home sales, consumer confidence).

- Wednesday sees EZ consumer data as well (German GFK, French sentiment).

- German long-end outperforming handily; Schatz auction was on the weak side

this morning. 2-Yr yield is up 0.4bps at -0.739%, 5-Yr is down 1.2bps at -0.66%,

10-Yr is down 2.6bps at -0.333%, and 30-Yr is down 2.5bps at 0.239%.

- Mixed day for periphery EGBs: Italy 10-Yr 1bps wider to Bunds, with Greece out

8bps, and the Iberians stronger (Spain 0.7bps tighter, Portugal in 2.3bps).

- Wednesday`s supply likely to include syndication of Austria 5-Yr for E3bln.

- Euribor strip flat out to Dec21, up 2.5-3 ticks in Blue contracts.

- ECB`s Mersch speaks Wednesday. Latest EGB futures prices:

* Sep BTP futures (IK) up 17 ticks at 133.68 (L: 132.88 / H: 133.69)

* Sep OAT futures (OA) up 46 ticks at 164.94 (L: 164.47 / H: 164.94)