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BTP leads EGBs higher

BONDS
  • Below average volumes in Core Govies in low liquidity for this time of the day, helps exacerbate some of the small moves.
  • Gilt and BTP are seeing better volumes, but this was led by the hedging needs, pre UK and Italian supply.
  • BTP and OAT leads in EGBs, with the Italian supply out of the way.
  • BTP/Bund spread is tighter, but well off the support target of 170.00bps, now at 176.1bps.
  • IKH4 printed a 117.22 high last week now eyeing the 117.00 figure.

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