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Markets appear risk-on despite.........>

BOND SUMMARY
BOND SUMMARY: Markets appear risk-on despite US-Iran tensions. US 10-yr Tsy is
again pushing through 3.0% and long-dated Eurodollar futures set to retest
April's lows. Dec21 EDs off 4 ticks to 96.88, lowest since 96.84 on Apr 26. 
- On the back of US weakness, Jun18 Gilt and Bund futures off 40 and 30 ticks,
respectively. Euribor and Short Sterling strips bear steepening alongside US,
though moves are comparatively less pronounced. 
- Supply possibly weighing as a few auctions coming up beginning at 0930GMT,
including re-opens of German 30-year Buxl for E1.5bn, UK 10-year Gilt for
GBP2.75bn, and Portugal 5- and 10-year PGBs for E1-1.25bn.
- Eurozone periphery recovering from Tuesday's Italy politics-induced sell-off,
with BTP/Bund spreads last 3.9bps tighter, paring some of the previous session's
underperformance vs Spain and Portugal (each 3.2bps narrower vs Germany).
- JGBs trading a little softer amid quiet trading, Jun18 future off three ticks
to 150.78. Bears eyeing a close below the May 02 low of 150.77.

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