Periphery EGBs have benefited...........>

EGB SUMMARY: Periphery EGBs have benefited Wednesday from a Reuters report that

the ECB is considering fresh TLTROs in 2019.

- The Mar 19 Bund future is up 13 ticks at 163.09, after earlier hitting fresh

contract highs of 163.34. 2-Yr yield is down 0.3bps at -0.616%, 5-Yr down 0.6bps

at -0.306%, 10-Yr down 0.5bps at 0.258%, and 30-Yr down 0.6bps at 0.907%.

- Mar-19 BTP future is up 78 ticks at 123.93, earlier hit daily highs of 124.11,

though the short-end is outperforming in a bull steepening move: 2-Yr yield down

10.6bps at 0.555% and 10s down 8.5bps at 3.071%.

- Reuters reported around 1100GMT citing ECB sources that the central bank is

considering extending TLTROs in 2019 (potentially permanently) among other

ideas, though such proposals are unlikely to emerge at next week`s meeting.

- 10-Yr Italian BTPs are 8.4bps tighter to Bunds at 280.9bps, with Spain in

2.8bps at 119.5bps, Portugal down 1.9bps at 153bps, and Greece down 5.1bps at

392.5bps.

- Euribor futures are trading mixed, Blues up 0.5-1.0 ticks.