It has been a quiet session so far......>

EGB SUMMARY: It has been a quiet session so far for core EGBs, underpinned by

the absence of economic data and dearth of headlines. The announcement that the

UK PM will stand down has had little impact on gilts, let alone EGBs.

- Bunds have lacked direction this morning with yields close to unch on the day.

Current yield levels: 2-year -0.639%, 5-year -0.5198%, 10-year -0.114%, 30-year

0.545%.

- French OATs are similarly trading close to flat. The Jun 19 OAT future trades

at 163.37, near the middle of the day's range.

- The morning rally in BTPs appears to be petering out. Yields are 4-10bp lower,

with the longer-end underperforming. The 2s10s spread has widened 2bp and 2s30s

by 5bp.

- Looking ahead, next week will see the release of preliminary CPI data for May

across much of the eurozone.