August 16, 2023 09:20 GMT
Contained within yesterday's ranges
- TY1, Bund and gilt futures have all been contained within yesterday's ranges so far today. Treasuries and Bunds are both a bit higher but gilts a little lower.
- The highlight of the session has been the release of UK inflation data ahead of the European market open. Core inflation (driven by another increase in services) came in slightly higher than expected. BOE is actually a little lower than yesterday with 31bp priced for the September meeting with 75bp still fully priced by March 2024. Eurozone IP and the second print of Q2 GDP have done little to move markets.
- Looking ahead we will receive the FOMC Minutes later today and ahead of that US housing data and IP data.
- TY1 futures are up 0-11 today at 110-03+ with 10y UST yields down -3.4bp at 4.181% and 2y yields down -5.4bp at 4.901%.
- Bund futures are up 0.20 today at 131.03 with 10y Bund yields down -1.6bp at 2.655% and Schatz yields down -2.1bp at 3.081%.
- Gilt futures are down -0.11 today at 927.70 with 10y yields up 2.1bp at 4.607% and 2y yields up 1.6bp at 5.129%.