It has been a quiet start to the week...>

EGB SUMMARY: It has been a quiet start to the week for EGBs in what will be a

busy week dominated by the ECB meeting, PMIs and potentially Italian politics.

- The ECB is set announce its latest mon pol decision and hold its press

conference on Thurs. This week's meeting is seen by many as the first step to

further easing. Forward guidance is expected to be changed with a reference to

rates being at current levels "or lower" at this week's meeting. However, any

decision on QE or cuts to the deposit rate/tiering are expected to be postponed

until September.

- Ahead of the ECB meeting on Wed we will receive flash readings of the French,

German and Eurozone PMIs with the market reaction closely watched to gauge

positioning ahead of the meeting.

- Elsewhere, headlines have suggested that Salvini could look to replace Conte

as prime minister in Italy in an attempt to reignite confidence in the

government and avoid early elections.

- Bund futures are up 0.18 today at 173.57, BTP futures down -0.38 at 138.68 and

OAT futures are up 0.08 at 165.81.