/MNI Europe Pi (Positioning Indicator):.......>

BONDS: /MNI Europe Pi (Positioning Indicator): Fresh Longs Ring In 2020:

- The New Year has begun with a bout of long-setting in European bond futures,

with Gilt contracts the only exception (seeing short cover in the week ending

January 3) For full analysis see email just produced or contact us.

- GERMANY: The longer-dated German contracts have seen a swing from extreme

shorts to extreme longs and back again - Bund and Buxl are currently seen as

having flat structural positioning at present. Meanwhile, Schatz and Bobl

positioning is short, with Schatz the most short among contracts we track.

Nothing new though - both Schatz and Bobl have been in flat/short territory

since early October.

- OAT: Positioning continued to move shorter following a brief move higher in

early December.

- GILT: Gilts are only contracts positioned net long in Pi, with longs at around

highest levels since early October (around time the election was called).

- BTP: Structural positioning has rebounded sharply from short territory in

mid-December, now back to flat (and as mentioned above, longs set last week).