TARIFFS: Trump to Impose Additional 25% Tariff on India

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• European bond futures positioning is about as mixed as we have seen it all year: three contracts are structurally short/very short, two are flat, and two are long/very long.
• Indeed BTPs are as "long" and Gilts as "short" as they've been in 2025 so far, while the German curve is extremely mixed.
• There was a mix of indicative trading last week as well, with longs set in Germany, but shorts set/short cover elsewhere.

• Over half of the sales allocated to the shortest-dated gilt on offer, the 1.625% Oct-28 gilt with GBP417.9mln of the GBP750mln sold.
• There were also decent sales of the 0.50% Jan-29 gilt and the 4.25% Jun-32 gilt with over GBP130mln of each sold.
• The 4.25% Jun-32 gilt was previously in the medium bucket, so its introduction helped boost the bid-to-cover (without that the bid-to-cover would have been below 2x.