/EGBs-GILTS: Long-end core EGBs are....>

BOND SUMMARY: /EGBs-GILTS: Long-end core EGBs are weakening sharply Monday.

- German curve bear steepening as 2-Yr yield is up 0.2bps at -0.668%, 5-Yr is up

1.2bps at -0.588%, 10-Yr is up 3.2bps at -0.225%, 30-Yr is up 6.3bps at 0.39%.

- Buxl notably getting hammered, off 250 ticks at 197.84 after touching the 200

handle ate last week.

- Italian spreads are wider as gov't divisions continue to make headlines,

though widening mitigated as Salvini talked up alternatives to Mini-BOTs. 

- Poor Italian ind. prod. data out this morning did not help. Spread of 10-Yr

Italian BTPs vs Bunds is up 2.6bps at 264bps.

- Sources report Spain Treasury issuing three new 30-Yr linkers via private

placement Monday: approx. E350mln each of 2048, 2049, 2050 SPGB linkers.

- More campaign rhetoric by Conservative leadership candidates Hunt and Raab,

nothing really new in reiterating they`d be prepared to leave EU without a deal.

- Gilts have been supported by poor UK GDP data this morning, though yields

still higher with 10-Yr underperforming (up 2.3bps at 0.836%).

- Euribor and Short Stg a bit weaker, with far end down most (2.5/3.5 ticks).