Free Trial

A Little Weaker, With Eyes On Rome

EGB SUMMARY

Initial weakness and flattening in Bunds and Gilts faded over the course of the morning and early afternoon, with curves steepening even as equities ground lower.

  • Meanwhile, BTP spreads reversed most of Thursday's widening, suggesting fading risk perceptions of early elections or an otherwise disorderly outcome to the latest political crisis.
  • Not much in the way of newsflow; in data, stronger-than-expected UK GDP numbers added to the negative Gilt tone on the open.
  • Most remaining European events of note for this week will occur at/after the cash close, including UK PM Johnson leading the 1700GMT COVID press conference, and ratings reviews of the UK and Finland.

Latest levels:

  • Mar Bund futures (RX) down 21 ticks at 177.63 (L: 177.51 / H: 177.94)
  • Mar Gilt futures (G) down 10 ticks at 134.34 (L: 134.17 / H: 134.48)
  • Mar BTP futures (IK) up 36 ticks at 151.27 (L: 151.01 / H: 151.48)
  • Italy / German 10-Yr spread 3.7bps tighter at 115.6bps

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.