EGBs/GILTs: Summary: European..........>

BOND SUMMARY: EGBs/GILTs: Summary: European govvies have been better bid this

morning, alongside a rebound in equities and broad FX strength vs the dollar.

Panic selling is recent days is probably exhausted at this point. 

- Markets are digesting the slew of monetary/fiscal support measures that have

recently been announced.

- The gilt curve has bull flattened with double digit yield moves beyond the

2-year maturity. 2s10s is 12bp narrower.

- Later today Chancellor of the Exchequer Rishi Sunak will announce new measures

to support companies and firms, beyond the fiscal package announced last week.

- Price action has been more contained for bunds with yield moves in the single

digits. The very long end is the exception with the 30-year benchmark yield down

11bp.

- The OAT has sold of at the front and firmed at the longer end. 2s10s & 2s30s

are 11bp flatter.

- The BTP curve has bull steepened on the back of double digit yield compression

at the shorter end.