It has been a strange start to the.....>

BOND SUMMARY: It has been a strange start to the morning for fixed income. After

a steady Asian session, Bunds took a leg lower shortly after 8am GMT on no real

news before recovering a little before moving back to close to the lows of the

day. Gilts have also been under pressure while USTs are a little higher on the

day. The moves appear to be flow driven, with some citing positioning ahead of

the ECB meeting on Thursday as being the trigger.

- Data this morning has largely been ignored. UK GDP data was a bit better than

expected, there was mixed IP data from France and Italy while the German ZEWE

was better than expected.

- The data and speaker calendar is pretty quiet for the rest of the day, ahead

of the Fed tomorrow, ECB on Thursday and UK General Election on Thursday.

- TY1 futures are up 0-4+ today at 129-03+ with 10y UST yields down -0.6bp at

1.814% and 2y yields down -0.7bp at 1.608%. Bund futures are down -0.26 today at

172.11 with 10y Bund yields up 1.8bp at -0.291% and Schatz yields up 1.0bp at

-0.635%. Gilt futures are down -0.20 today at 131.76 with 10y yields up 1.9bp at

0.780% and 2y yields up 0.3bp at 0.571%.