/EGBs-GILTS: Looks like another day....>

BOND SUMMARY: /EGBs-GILTS: Looks like another day of Middle East tensions and

heavy supply, though core FI has come down sharply from the open on news of Iran

striking U.S. bases in Iraq.

- Gilt/Bund futs basically unch on the day, BTP spreads tighter (levels below).

- We get Germany selling Bunds today for E5bln at auction, and in addition,

Ireland and Portugal are syndicating 15-Yr and 10-Yr bonds, respectively, and

there looks to be significant corporate issuance once again (BNG, BMW, etc).

- This follows the heaviest day of EUR supply (E27bln) since May 2017, per BBG.

- German factory orders came in well below expected, -1.3% M/M (vs +0.2%

survey), but this did nothing to halt Bund downside.

- Another quiet day for UK data. EU sentiment data at 1000GMT.

** Latest levels:

* Mar Bund futures (RX) up 5 ticks at 172.17 (L: 172.06 / H: 173.22)

* Mar Gilt futures (G) down 13 ticks at 131.56 (L: 131.52 / H: 131.83)

* Mar BTP futures (IK) up 19 ticks at 142.97 (L: 142.8 / H: 143.25)

* Italy / German 10-Yr spread 4.5bps tighter at 161.7bps