With the US on holiday and cash.........>

EGB SUMMARY: With the US on holiday and cash Treasury markets closed, EGBs have

seen a fairly subdued trading day. Activity has not been helped by a lack of any

market moving data, with German PPI that was broadly in line with consensus the

highlight of the day.

- Bunds have moved a little higher but the move is not really noteworthy while

peripheral spreads are largely unchanged.

- Markets remain focused on the ECB meeting later this week where the Strategic

Review will be announced but no immediate tweaks to policy are expected.

- Bund futures are up 0.07 today at 171.68 with 10y Bund yields down -0.3bp at

-0.219% and Schatz yields up 0.3bp at -0.592%.

- BTP futures are up 0.24 today at 143.07 with 10y yields down -1.8bp at 1.356%

and 2y yields down -0.7bp at -0.24%.

- OAT futures are up 0.11 today at 164.12 with 10y yields down -0.6bp at 0.037%

and 2y yields up 0.1bp at -0.559%.