/EGBs-GILTS: Bonds are up across the...>

BOND SUMMARY: /EGBs-GILTS: Bonds are up across the board (alongside every other

asset class for that matter) in early European trading Thursday. 

- Periphery EGBs doing what they've been doing most of the week: tightening to

Bunds. 10-Yr BTPs at tightest levels vs Bunds since March.

- A very limited European data slate ahead, incl Eurozone unemployment at

1000BST (though the U.S. pre-holiday slate is busy, incl nonfarm payrolls).

Spain Jun unemployment chg was +5.1k vs -113k expected. 

- Thursday is the week's heaviest day for EGB issuance with both France

(E10.25-11.75bn)and Spain (E5.75-7.25bn) holding auctions. UK sells GBP3.5bln of

0.625% Jun-25 gilt and GBP2bln of 4.50% Sep-34 gilt.

- ECB's Mersch speaks at 1400BST, Schnabel at 1800BST. ** Latest levels:

* Sep Bund futures (RX) up 22 ticks at 175.51 (L: 175.04 / H: 175.59)

* Sep Gilt futures (G) up 16 ticks at 137.24 (L: 137.14 / H: 137.28)

* Sep BTP futures (IK) up 44 ticks at 143.94 (L: 143.48 / H: 144.05)

* Italy / German 10-Yr spread 2.4bps tighter at 164.2bps

* Sep OAT futures (OA) up 30 ticks at 166.89 (L: 166.53 / H: 166.97)