EGB/Gilts - Govies recover from their lows

EGBs and Bund have recovered from the session lows, as EU desks start to likely cover as we head towards the later part of the session.

• Month End could also be at play, but more would be expected towards 16.15BST.
• Most notable extensions are in the UK, a huge +0.20yr, while EU and the US sees smaller/average extensions.
• A decent turn around for the BTP, and good continuation following this morning's headline:
• "Meloni Would Stick To EU Budget Rules If She Becomes PM-Officials"
• Italy is now 12.8bps tighter against the German 10yr, and all peripheral are tighter, besides Greece that sits 2.3bps wider.
• Looking ahead, attention turns to the BoE and US NFP next week.

Notable data for next week:

• Manufacturing PMIs (mostly final readings for core), US ISM/Price paid (Mon), Swiss CPI, Turkey CPI, Global Services PMIs (mostly final for core), US ISM Services Index (Wed), German, French, Italian IP, Canadian Employment, US NFP (Fri).