EGBs/GILTs: Markets have shifted.......>

BOND SUMMARY: EGBs/GILTs: Markets have shifted back to a risk-off position this

morning with core govvies rallying and equities inching lower. Oil, which

enjoyed a brief respite from the OPEC+/G20 production cuts, is on the backfoot

as weak demand continues to weigh.

- The UK continues to push against a reversal of the lockdown, with some reports

suggesting that the actual death rate from coronavirus could be higher than

officially reported. 

- Supply today came from the UK, Germany, Netherlands and Portugal. . 

- The gilt curve has bull flattened with yields 2-3bp lower.

- German bunds have been well-bid, with the longer-end similarly outperforming.

The 30-year benchmark yield is down 7bp on the day.

- French OATs have similarly trade firm, albeit with price action relatively

more contained.

- BTPs have sold-off sharply, particularly at the short end where yieldsa are

11-12bp higher.