German FI a touch higher; Schatz +2, Bobls.....>

EGBS: German FI a touch higher; Schatz +2, Bobls +3, Bunds +18.

- Fed Chair Powell's remarks helped to put a floor on German FI on Wednesday

after an early sell off on the back of better than exp. French & Italian IP

data, coupled with a soft bund auction. Greece underperformed in the periphery,

with continued rumours surrounding the possibly of fresh issuance weighing.

- Overnight saw confirmation that the U.S. has opened a trade probe over the

French tax plan for large tech firms. There will be talks between German EconMin

Altmaier & U.S. TR Lighthizer today. Altmaier has suggested that the U.S. & EU

could come to a trade agreement by the end of '19 if there is sufficient

political will.

- Italian Dep PM Salvini is on the ropes on the back of a recording of a meeting

between one of his aides & Russian individuals, with the aim of funnelling

Russian money into Salvini's Lega Party.

- Final CPI readings from Germany & France highlight the regional docket, while

ECB's Coeure will speak ahead of the release of the accounts of the ECB's June

MonPol meeting. Irish & Italian issuance provide the supply highlights today.