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Bobl and Schatz help Bund to session low

BONDS
  • Shorter end Bobl and Schatz keep the lid on Bund, with the contract hovering at its intraday low, although it is still trading in a very tight 15 ticks range.
  • Support in Bund is still at 133.20, while for the Schatz it comes at 105.805.
  • Main early focus in Germany will be on the 2yr Supply.
  • Given the 21 ticks gap higher in Gilt on the back of the UK employment data, the move has helped to tighten the Gilt/Bund spread to its lowest level in over a Month, since the 1st February, with the next support seen at 159.22bps, the February low.

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