With the ECB meeting out of the way....>

BOND SUMMARY: With the ECB meeting out of the way and no further data releases,

it is a relatively quiet session for EGBs.

- The German bund curve has steepened slightly since early morning with the

2s30s spread widening to 165.6bps from a low of 164.6bps. This has been driven

in large part by the 30-year yield edging higher to 1.063% from a low of 1.053%.

- The French 2s10s spread has narrowed to 110.7bps from a high of 111.968%, with

the benchmark 2-year OAT yield drifting up to -0.427% from a low of -0.436%.

Longer-term inflation expectations are tentatively shifting lower with the

10-year breakeven rate pushing down to 1.416% from a high of 1.430%.

- Italian BTPs have been choppy this morning with the longer end outperforming.

The benchmark 10-year BTP yield trades at 2.689% from a session high of 2.706%,

while the 30-year trades at 3.475% from 3.487%. The 2s30s spread has fallen to

275.4bps from a high of 278.2bps.

- The EURIBOR futures strip has steepened with reds through blues down 0.5

ticks.