A stable afternoon session

EGBs have stayed within this morning range this afternoon.

• BTP has been the notable under performer, slowly drifting lower,
• The contract tested yesterday's low and initial support at 147.44. (printed 147.41 low)
• Main initial targets is still eyed at the 0.842% yield, the 2021 peak and highest since 01/10/2020, which equates today (ref 147.66) to 147.29.
• German curve is flat, while Italy spread trades 2bps wider at the time of typing.
• Looking ahead, most desk await on the FOMC tomorrow, but still some focus later on further tech stocks earnings, with Texas Instrument, Visa, Alphabet, Microsoft, Starbucks, still left for today.
• Bund futures are down -0.07 today at 170.76 with 10y Bund yields up 0.1bp at -0.253% and Schatz yields up 0.1bp at -0.694%.
• BTP futures are down -0.25 today at 147.58 with 10y yields up 2.1bp at 0.819% and 2y yields up 1.8bp at -0.325%.
• OAT futures are down -0.11 today at 161.35 with 10y yields up 0.6bp at 0.089% and 2y yields down -0.5bp at -0.661%.