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Anne Karina Asbjorn at Nomura adds that "The...>

BTPS
BTPS: Anne Karina Asbjorn at Nomura adds that "The new electoral law in Italy
should in theory reduce the likelihood of an anti-establishment majority in the
next general elections (although the base case remains for an inconclusive
election result), thereby helping to remove some of the tail risks embedded in
BTPs' yields. The fact that Five star movement did not win a majority in the
Sicily regional election supports this view.".
- In terms of trades, Nomura continue that "While we've taken 16bp on out 10Y
BTP/SPGB compression trade recommendation, we see risks as asymmetric towards
further compression in BTP/SPGB spreads."

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