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A busy afternoon session

EGB SUMMARY

A busy but contained range afternoon session as we close out the week.

  • Story of the day was of course the big US NFP and employment data misses.
  • Global Govies spiked,, but we are now back at pre data levels at the time of typing.
  • Whether due to seasonal adjustments or employable people staying at home (either due to safety concerns or collecting very generous jobless benefits), focus remains on the pace of the recovery.
  • Peripheral spreads are all trading wider, with Italy at 4.7bps.
  • Italian 10yr yield moved above Greece for a short time.
  • Looking ahead, the US President will delivers remarks on the April jobs report. Also, a Press Briefing by Press Secretary Jen Psaki and Secretary of the Treasury Janet Yellen.
  • After markets sees rating from Fitch on Austria (current rating: AA+; Outlook Stable) & France (current rating: AA; Outlook Negative)
  • Moody's on Italy (current rating: Baa3; Outlook Stable)

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