EGBs have continued to trade in the.....>

EGB SUMMARY: EGBs have continued to trade in the green today as poor industrial

data from Spain and Italy has rounded off a torrid set of data days for the

Eurozone's four biggest economies. 

- Italy earlier issued E6.5bln in medium to long-term BTPs, the very top of

their volume range. The strong demand has seen BTPs rally since 1000GMT to

outperform other EGBs thus far today. 

- The Mar 19 BTP future is up 64 ticks at 126.94, having traded in a range of

126.2-127.1 today.

- The drive up has been lead by the belly where the 5-yr BTP yield is down

7.4bps at 1.809%, while the 2s10s has bull flattened by 1.2bps. 

- The 2-Yr yield is down 4.3bps at 0.469%, 10-Yr down 5.5bps at 2.833%, and

30-Yr down 2bps at 3.684%.

- The Mar 19 Bund future is up 15 ticks at 164.36 having traded in a range of

164.16-164.54, but has traded largely sideways since 0900GMT. 

- There has been moderate bull flattening across the Bund curve with the 10-yr

the outperforming, the yield is down 1.3bps at 0.242%.