It has been an eventful morning for....>

BOND SUMMARY: It has been an eventful morning for global fixed income as we have

seen the release of PMIs across the Eurozone and the UK.

- After a slightly soft start to the day, French PMIs did little to move markets

before better than expected German PMI data saw Bund futures touch their lowest

levels of the day. Core fixed income then drifted a little higher ahead of the

pan-Eurozone release which stated that there had been "near-stagnation" outside

of Germany and France.

- The big move of the morning, however, has been after the UK PMI as bonds have

moved higher led by gilts despite the better than expected UK PMI report which

showed that confidence has rebounded following the election result.

- This afternoon will see the US Markit PMI released which is not generally a

big market mover but has been gaining traction in recent months.

- TY1 futures are up 0-2+ today at 129-27+ with 10y UST yields down -0.1bp at

1.732% and 2y yields up 0.1bp at 1.516%. Bund futures are down -0.15 today at

172.88. Gilt futures are up 0.08 today at 134.16 with 10y yields down -1.3bp at

0.577% and 2y yields down -0.6bp at 0.412%.