EGBs started the London morning.........>

EGB SUMMARY: EGBs started the London morning session within ranges. The Bund

contract was initially underpinned on the back of a Risk Off tone during London

morning trading session.

- The German Bund rallied to print a 173.54 high, on the back of BBG report that

European Central Bank staff have begun studying a potential revamp of their

inflation goal, according to officials familiar with the matter, in a move that

could embolden policy makers to pursue monetary stimulus for longer.

- GILTS brushed off Jun Retail Sales Beat and have traded within ranges today.

- Peripheral (PIIGS) are tighter against the German 10y Bond, with Greece

pulling ahead at 8.8bps tighter.

- Latest futures: 

* Sep Bund futures (RX) up 27 ticks at 173.2 (L: 173.02 / H: 173.54)

* Sep Buxl futures (UB) up 42 ticks at 202.82 (L: 202.26 / H: 204)

* Sep BTP futures (IK) up 45 ticks at 139.59 (L: 139.06 / H: 140.24)

* Sep OAT futures (OA) up 29 ticks at 165.62 (L: 165.42 / H: 165.94)