(Action Economics) - 06:07 EST European Fixed Income Update: Bund and Gilt futures are mixed, with Bunds outperforming after the drop in Eurozone HICP inflation to the lowest level since 2009. The unexpected dip in Eurozone unemployment and stronger than expected German retail sales were shrugged off and European stock markets headed south, with Eurozone peripherals underperforming. The fact that spreads are still coming in shows that sovereign bonds are not impacted by the rise in risk aversion. Portuguese 10-year yields meanwhile have been backing up again, after yesterday's decline. In the cash market the 10-year Bund yield is down 1.5 bp at 1.15% and the Gilt yield unchanged at 2.595%. Meanwhile the Italian 10-year is down 2.6 bp, the Spanish down 3.8 bp and the Portuguese up 3.5 bp. By comparison the DAX was down 1.00% and the FTSE 100 down 0.21% as of 9:50GMT.