Risk has rallied with global equity.....>

EGB SUMMARY: Risk has rallied with global equity markets on the front foot and

core bond yields globally moving higher. Earlier today, Bunds had been no

exception but they have rallied through most of the European afternoon session

and are now largely flat on the day. Some large jumps in the number of people

who have contracted coronavirus, particularly in Spain, have led to concerns

surrounding Europe as a whole.

- Against this backdrop, peripheral spreads have widened with Greek, Spanish and

Portuguese spreads widening significantly while BTP-Bund spreads surpassed the

levels seen following the ECB meeting last week.

- Bund futures are up 0.02 today at 172.19 with 10y Bund yields up 0.5bp at

-0.460% and Schatz yields up 3.2bp at -0.872%

- BTP futures are down -1.78 today at 131.10 with 10y yields up 15.7bp at 2.318%

and 2y yields up 27.3bp at 1.382%.

- Spain 10y spread up 17.3bp today at 148bp

- Portugal 10y spread up 19.0bp today at 171bp

- Greece 10y spread up 90.9bp today at 409bp