It's been a fairly quiet start to the...>

EGB SUMMARY: It's been a fairly quiet start to the morning for EGBs with EGBs

moving marginally lower despite European equities also opening a little lower.

- The highlight of the data calendar this morning will be the German IFO.

Following Friday's extremely disappointing German manufacturing PMI print, there

is likely to be increased focus on the IFO today. The Bloomberg survey is

looking for a marginal increase in the expectations component to 94.0 from 93.8

but the market is probably more pessimistic than economists. Belgian business

confidence is due for release at 14:00GMT while the ECB's Costa and Couere are

both due to speak at a conference in Lisbon this morning.

- Bund futures are down 0.19 to 165.55 with 10y Bunds yields up 0.4bp to -0.011%

while Schatz yields are down 0.3bp to -0.567%.

-  Most peripheral/semi-core spreads are within a basis point of Friday's close

with the exception of Italy which has seen spreads widen 3.7bp on the day. IK1

futures are down 0.33 on the day to 129.38.