- The German bund curve has steepened...>

EGB SUMMARY: - The German bund curve has steepened during the session with the

2s10s spread trading up to 106.3bps from a low of 103.9bps.

- The front end of the French OAT curve has traded sideways for most of the day

while yields at the longer end have drifted higher. The 2-year benchmark

currently trades at a yield of -0.394% and has held within a -0.398/-0.385%

range while the 10-year yield has pushed up to 0.867% from 0.849%. The 2s10s

spread has widened to 125.1bps from 122.4bps.

- With the political newsflow in Italy a bit thin on the ground, BTP volatility

has died down compared to last week. The 2-year BTP has oscillated within a

3.507/3.578% range.

- The Spanish curve has steepened on the day with the 2s10s spread trading up to

181.2bps from 178.6bps.

- The Euribor futures strip is broadly 1.0-1.5 ticks higher.