It has been a volatile day for EGBs.....>

EGB SUMMARY: It has been a volatile day for EGBs. Bunds fell going into the

European session before bouncing on the open, retracing half of those gains and

since then have moved back to be only a little down on the day. Further

clampdown efforts have been announced in Spain, Austria and Greece. Angela

Merkel is also reported as saying that non-essential events should be cancelled.

- Spreads have followed a similar story with BTP-Bund spreads now down 11bp on

the day after re-widening by almost 20bp.

- Focus is beginning to turn to what the ECB will do on Thursday.

- Bund futures are down -0.49 today at 177.74 with 10y Bund yields up 4.6bp at

-0.812% and Schatz yields up 5.2bp at -0.962%.

- BTP futures are up 0.07 today at 142.66 with 10y yields down -5.7bp at 1.363%

and 2y yields down -5.1bp at 0.356%.

- OAT futures are down -0.93 today at 171.79 with 10y yields up 6.0bp at -0.327%

and 2y yields up 2.1bp at -0.755%.