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Attention turns to Jackson Hole

BUNDS
  • Bund stays offered overnight and post cash open, after perfectly testing the August low in Yield Yesterday, investors are now turning their attention to JH and Powell, to see if he stays on a hawkish course.
  • Support in Bund is unchanged at 131.91 initially, while resistance moves down to 132.87, followed by 133.39 (Yield support).
  • There's very little in terms of data, German IFO out of Europe, but unlikely to be a big market mover, and on the other side of the Pond, final Michigan, would need a revision to get some sort of impact especially with all the focus on speaker today.
  • SUPPLY: Italy 2yr (Equate to 26.6k short 2yr BTS) should have limited impact on the future.
  • SPEAKERS: Fed Powell, Harker, Mester, Goolsbee, ECB Lagarde.

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