/EGBs-GILTS: A data-heavy European.....>

BOND SUMMARY: /EGBs-GILTS: A data-heavy European morning has begun with a

risk-off tone as a German GDP contraction in Q2 was confirmed.

- German flash Q2 GDP of -0.1% Q/Q was in line with consensus but Bund yields

continued to head lower, 10-Yr touching new all time low of -0.625%.

- Italy confidence vote delayed until at least next week; Deputy PM Salvini said

earlier if he became PM he would name aide Georgetti as FinMin.

- Italian spreads flat (along with other peripheries), having earlier narrowed.

- UK Ex-Chancellor Hammond saying `very confident` Parliament can block No Deal

Brexit; fresh election or referendum options if can`t be resolved by MPs.

- Data later includes UK Jul CPI out at 0930BST; EZ GDP/IP/Empl at 1000BST.

- Short-Stg a tough lower (1.5-2.0 ticks down in Dec19-Mar21); Euribor +0.5/1.0.

- Again, no Central Bank speakers scheduled. Latest futures prices:

* Sep Bund futures (RX) up 20 ticks at 177.88 (L: 177.62 / H: 177.92)

* Sep BTP futures (IK) up 3 ticks at 139.29 (L: 139.21 / H: 139.89)

* Sep OAT futures (OA) up 21 ticks at 169.27 (L: 169.1 / H: 169.31)

* Sep Gilt futures (G) up 5 ticks at 134.35 (L: 134.25 / H: 134.39)