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Bund yields at lowest level in 2 months

BONDS
  • Core fixed income has been grinding higher this morning with Bunds futures having surpassed Friday's highs, gilt futures challenged Friday's highs, but Treasury futures sitting in below the highs. 10-year Bund yields have moved to their lowest levels since 27 May.
  • The main talking point today surrounds the EU energy ministers meeting where they are discussing plans to reduce consumption.
  • Today will also see the release of housing data in the US, but the market continues to look forward to tomorrow's FOMC policy announcement. See the full MNI preview here.
  • TY1 futures are up 0-10 today at 119-31 with 10y UST yields down -2.0bp at 2.778% and 2y yields unch at 3.015%.
  • Bund futures are up 0.61 today at 155.36 with 10y Bund yields down -4.5bp at 0.970% and Schatz yields down -2.4bp at 0.371%.
  • Gilt futures are up 0.27 today at 117.55 with 10y yields down -1.9bp at 1.915% and 2y yields down -1.0bp at 1.799%.

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