Bull flatter going into the Fed

EGBs have held ranges during the European afternoon session, as investors and market participants await the US FOMC and presser.

• Curves have bull flattened, mainly led by US Treasuries.
• Volumes, not too surprisingly have been on the low side with accounts on the sidelines.
• Peripherals are lagging just a touch against the German 10yr, translating in small wider spreads, with Italy by 0.5bp.
• Looking ahead, all eyes on the Fed.
• Sep Bund futures (RX) up 19 ticks at 172.51 (L: 172.28 / H: 172.59)
• Germany: The 2-Yr yield is down 0.2bps at -0.674%, 5-Yr is down 1.2bps at -0.615%, 10-Yr is down 1.2bps at -0.244%, and 30-Yr is down 1.2bps at 0.31%.
• Sep BTP futures (IK) up 4 ticks at 151.86 (L: 151.69 / H: 152.03)
• Sep OAT futures (OA) up 10 ticks at 158.91 (L: 158.78 / H: 159.04)
• Italian BTP spread up 0.5bps at 102.5bps
• Spanish bond spread unchanged at 64.1bps
• Portuguese PGB spread up 0.3bps at 62.3bps
• Greek bond spread up 0.5bps at 98.8bps