EGB/Gilt: EGBs and gilts are on the....>

BOND SUMMARY: EGB/Gilt: EGBs and gilts are on the back foot today on the back of

some better than expected IP data from France and Italy and better than expected

monthly GDP, services and construction data from the UK.

- Boris Johnson remains the odds-on favourite to be the next PM after coming

through last night's ITV debate relatively unscathed. Elsewhere, Kim Darroch the

UK's ambassador to the US has resigned.

- Both the German and Portuguese auctions today were relatively weak, with the

German 10yr auction technically uncovered. Italy are due to come to the market

tomorrow with Ireland also due to sell bonds in what has been a relatively heavy

weak for issuance across core and European bond markets.

- The main event for European bond markets later today will be in the US, with

Fed Chair Powell due to testify before Congress.

- Bund futures are down -0.96 today at 172.25 with 10y Bund yields up 6.0bp at

-0.296% and Schatz yields up 1.3bp at -0.731%.

- Gilt futures are down -0.64 today at 131.06 with 10y yields up 5.5bp at 0.774%

and 2y yields up 4.0bp at 0.580%.