German fixed income futures sit at.............>

EGBS: German fixed income futures sit at sub-settlement levels as we edge

towards the traditional European session; Schatz -0.5, Bobls -6.0, Bunds -34.

- ECB speakers failed to move the needle y'day. Tuesday also saw BTPs benefit

from a healthy order book in a syndication of 50-Year BTPs, as core generally

underperformed. Greece was the notable exception here, running out of steam

after the post-election tightening, likely on the back of a realisation that

same old worries will persist & that spreads vs. Bunds have come a long way.

- The European Commission will publish its econ f'casts today. Y'day saw ANSA

sources report that the EC exp. Italian GDP will grow by 0.1% in '19 & 0.7% in

'20. Matters across the Atlantic should dominate, with Fed Chair Powell set to

make an address & the minutes from the FOMC's latest MonPol decision due.

- On the issuance front, Germany will open the new 10-yr Bund, with a zero

coupon and a maturity date of Aug-2029, while Portugal will come to market with

1.95% Jun-29 PGB and 4.1% Feb-45 PGB. It is also worth remembering that the FT

has noted that the "German Federal Ministry of Finance is exploring several

options ahead of a planned issuance of a green Bund next year."