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- The US 10-year Dec treasury future...>

BOND SUMMARY
BOND SUMMARY: - The US 10-year Dec treasury future has ticked higher and
currently trades at 120-01.
- JGBs are trading in a tight range and the curve is flat on the day.
- German bunds have rallied since the open with the curve little changed. The
benchmark 2-year bund trades at -0.572% from -0.563%, while the 10-year yield
has edged down to 0.374% from 0.386%. Factory orders for July were weaker than
expected at -0.9% Y/Y vs 1.9% survey.
- The French OAT curve has steepened with the 2s10s spread widening to 111.7bps
from a low of 110.1bps and the 2s30s trading up to 201.8bps from 199.6bps.
- The short end of the Italian BTP curve has sold off while the longer end has
lacked direction. The 2-year BTP trades at 1.034% up from 0.958%.
- Gilts have traded sideways this morning with the 2-year holding within a
0.735-0.753% range and the 10-year in a 1.431-1.441% range.
- Euro$ futures are 0.5-1.0 ticks higher. The Euribor futures strip is flat to
1.0 tick higher.

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