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Bund, BTP, and Gilt are leading futures lower

BONDS
  • Bund BTP and Gilt are taking another leg lower, heavy supply and Corp issuances are keeping the lid on Govies this week.
  • UK 10yr Yield is back above US 10yr.
  • Looking at the Gilt/Tnotes spread, there's been continued widening since 29th November, this morning by 2.1bps, now widest since 14th October.
  • Some spillovers into Treasuries, TYA sold in 3k and USA in 1k.
  • initial small support in Bund is at 136.05.
  • Gilts targets pre US AHE level at ~101.51, ahead of Friday's low at 101.20.

Chart source: MNI/Bloomberg

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