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A very busy week ahead

BUNDS
  • A very busy week ahead, with European CPIs, US PCE, Speakers, Rolling Bond positions for UK and US Govies, and Month End Extensions.
  • Core Govies are underpinned at the start of the week, after testing multi Months highs in Yield terms last week.
  • There isn't much in terms of resistance at current levels, with the next upside area of interest around the 134.00 figure.
  • Small support comes at 133.25, followed by the 132.75 area.
  • There's no Tier 1 data today, Spanish PPI is unlikely to move the needle, with the main focus on CPIs this week for Europe. US New Home sales and Dallas Fed, are also unlikely to move markets.
  • Main focus out of the US, will be the heavy supply.
  • SUPPLY: US sells $63bn of 2yr Notes and $64bn of 5yr Notes.
  • SPEAKERS: ECB Lagarde, Vujcic, Stournaras, BoE Breeden, Pill.

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