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Drifting back lower

BONDS
  • Govies are drifting back lower, mostly a mixed price action this morning.
  • In terms of technical for the BTP (Sep).
  • Immediate support is at 122.44 1.382 proj of the May 12 - 24 - 26 price swing.
  • Below the latter, 122.00 Round number support .
  • Looking much further out, reference 122.96:
  • 3.500% = 120.95
  • 3.808% = 117.95 (this is the 2018 peak and highest Yield since February 2014).

Chart source: MNI/Bloomberg

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