It has been a slow start to the European.......>

EGBS: It has been a slow start to the European bond markets with yield little

changed from Thursday's close with not much action seen in Asia seen to direct

markets. Focus remains on US/China trade tensions, US President trump's visit to

the UK and release of Fed Powell's semi-annual policy report before his

testimony next week.

- German 10-yr Bund yield is 0.5bp lower at 0.352% with yield curve a touch

flatter as short-end remains anchored with 2s/30s spread 0.5bp tighter.

- EMU periphery are mixed with short-end of the BTP curve coming under some

early selling pressure while long-end ticks higher. The same can be said for the

Spanish curve as well. 10-yr Bund/BTP spread is 0.7bp tighter, while Bund/Bonos

spread is 0.4bp wider.

- German wholesale prices was the sole Eurozone data release for today so

markets likely to remain subdued.

- Euribor strip is not showing much movement either with contracts steady to 0.5

tick higher in very light volume.