REFILE-UPDATE 1-UK bank credit underperforms in early trading

(Adds RICs)

By Adam Parry

LONDON, June 24 (IFR) - UK bank names are under pressure incash markets in early trade following the Leave vote in theBrexit referendum.

At five-years Barclays in euros is around 40bp wider toswaps for choice, with RBS out around 30bp. Compare that toEuropean giants such as Deutsche Bank and BNP Paribas, which are5-10bp wider, and you can see that the UK banks are alreadyunderperforming.

But CDS tells a different picture. Barclays 5yr protectionis up 46% at 147bp and here other European names are up by asimilar amount.

Which market is right? Probably the former, but with suchuncertainty at the moment, all European banks might struggle ifthis volatility continues. (Reporting by Adam Parry, editing by Julian Baker)