German bunds pushed higher printing.....>

EGB SUMMARY: German bunds pushed higher printing an intra-day high of 161.37

after following the path of US Treasuries in a bid for safety. News of the mass

shooting in the US, which is the worst in the country's history dominated the

headlines along with the Catalan referendum. These two headlines combined with

Trump's tough rhetoric against North Korea helped the bond markets higher

through the day.

- ECB's Praet took a view on the "stock vs flow" impact of QE and sided with the

latter, implying that monetary policy tightens when QE-buying fades.

- US manufacturing ISM came hit is best level since 1987 pushing the Euro lower

still against the greenback.

- Ireland announced that they would sell a new 5Y in the near future subject to

market conditions. The target amount was given as E3-5bln and will contribute to

the repayment of bailout loans and over and above the 9-13bln pre-announced 2017

issuance plan. 

- Spanish debt headed into the European close with the Bund-Bonos spread 11bp

wider at 125.9bp.