/EGBs-GILTS CASH CLOSE: Two main stories......>

BONDS: /EGBs-GILTS CASH CLOSE: Two main stories today: German curve bear

steepening sharply (30Y badly underperforming) as risk appetite picks up, AND

Italian spreads reversing tightening toward end-of-day following MNI's piece

citing ECB sources suggesting that the bank may disappoint market expectations

for a PEPP top-up at Thursday's meeting. ** Closing levels:

* Germany: The 2-Yr yield is up 0.6bps at -0.653%, 5-Yr is up 2.2bps at -0.622%,

10-Yr is up 4.5bps at -0.402%, and 30-Yr is up 8.1bps at 0.084%.

* UK: The 2-Yr yield is up 3.7bps at -0.006%, 5-Yr is up 4.4bps at 0.038%, 10-Yr

is up 4.7bps at 0.231%, and 30-Yr is up 3.7bps at 0.621%.

-- 10-Yr Periphery EGB Spreads:

* Italian BTPs vs Bunds down 3.4bps at 188.9bps

* Spanish bonds vs Bunds down 3.0bps at 97.9bps

* Portuguese PGBs vs Bunds down 3.5bps at 91.6bps

* Greek bonds vs Bunds down 5.2bps at 192.2bps