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EGB/GILT: European govies have.........>

BOND SUMMARY
BOND SUMMARY: EGB/GILT: European govies have rallied across the board this
morning alongside fresh equity losses. 
- Concerns about a second-wave for the Coronavirus have picked up following
indications that the R value in Germany has increased significantly above 1,
while Australian authorities have extended the state of emergency in Melbourne
as Covid cases have risen.
- Gilts have rallied through the morning with the Sep-20 future trading up to
137.16, 6 ticks of the day's high.
- Bunds have been bid with cash yields 1-2bp lower across the curve.
- OATs have similarly firmed with yields 2-3bp lower on the day and the curve
trading close to flat.
- BTPs have slightly outperformed and the curve has bull flattened. The 2s10
spread is 3bp narrower.
- Supply this morning came from Germany, (bubills, E6.93bn), Belgium (OLOs,
E2.72bn) and the Netherlands (DTCs, E3.48bn).

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