EGBs/GILTS: Core EGBs have failed to...>

BOND SUMMARY: EGBs/GILTS: Core EGBs have failed to find a firm direction to

start the week, but Gilts have risen ahead of a key few days for Brexit.

- The Jun 19 Gilt future is up 25 ticks at 127.38, having traded in a range of

127.03-127.47 today. 10-Yrs outperforming on the curve (yield down 2.3bps).

- Various outlets (and Ireland's foreign minister) reporting that PM May could

head to Strasbourg Monday night for last minute talks with EU's Juncker.

- UK Jr Brexit Minister Walker told Parliament that the Brexit vote will indeed

take place Tuesday, despite rumours this morning that it could be postponed.

- Jun 19 Bund future is up 18 ticks at 164.57, near high end of daily range.

- Italian BTPs have struggled all day; Jun 19 future is down 50 ticks at 128.70,

hitting low of 128.51 just before midday. The short end and belly of the Italian

curve are underperforming, with 2-Yr yield up 6.1bps at 0.209%, 5-Yr is up

7.8bps at 1.499%, 10-Yr is up 4.5bps at 2.549%.

- Short-Stg futures up 1.5-2.5 ticks across the strip; Euribor largely flat.

- Tuesday's data flow centres around U.K. Jan GDP, with U.S. CPI a potential

flashpoint in the afternoon.