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Italy vs Germany

BONDS
  • Italian 10yr Yield is back above 2.60%, printed a 2.615% high.
  • Note that the Yield reached a 2.683% on the 22nd April, highest since March 2020.
  • The underperformance of the BTP, push the BTP/Bund spread wider, by 3.5bps, to 177.3.
  • Resistance is still seen at 180bps, and above the latter would open to 184.24bps (50% retrace of the 2020/2021 tightening).

In yield term, reference 132.33:

  • 2.700% = 131.18

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