Bear steepeners favoured

A range bound start for EGBs, although we are trading in the red, on the back of higher Equities.

• Estoxx closed the small gap lower, keeping Bund just off its lows.
• Curve trade bear steeper, but within ranges, with very little of note on the calendar to start the week.
• Peripheral are a touch tighter, and we keep an eye on Italy and Greece 10yr yields as they trade near, albeit below 1%.
• Gilts have traded inline with EGBs, but are underperforming Europe,
• UK politics saw the Tories make further inroads into traditional Labour strongholds.
• US treasuries are better offered, especially in the longer end part of the curve.
• US 5/30s sees bear steepening continuation.
• Now highest since end of March.
• Next targets comes at 26/03 high at 154.343.
• Looking ahead, no tier 1 data, US Fed Evans (Voter, leaning Dove), will be discussing Economic outlook at a virtual event.