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A pick up in spreads

BUNDS
  • A pick up in volumes are going through as the dust settles a little, and the US starts to come in.
  • Most is spreads related in the past few minutes, trading on legs.
  • This is reflected by just 20k spread traded outright, and ~40kk traded in the March contract.
  • The Dec/March Bund spread has drifted lower this past week (since last Tuesday), from -140, to print as low as -177 on Friday.
  • This morning the spread is -164/-163 after settling at -161, but buying interest is seen at -163.

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