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Edging Away From Lows On Spanish PMI & Lower Equities

EGBS

Slightly softer-than-expected Spanish manufacturing PMI data and an extension lower in benchmark European equity indices allows EGBs to find a base.

  • Bunds rally ~15 ticks from lows to trade back to 133.46.
  • Contract still 45 ticks lower on the day, with yields 1.5-2.5bp higher across the German cash curve.
  • EGB spreads to Bunds still within 1bp of Friday’s closing levels.
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Slightly softer-than-expected Spanish manufacturing PMI data and an extension lower in benchmark European equity indices allows EGBs to find a base.

  • Bunds rally ~15 ticks from lows to trade back to 133.46.
  • Contract still 45 ticks lower on the day, with yields 1.5-2.5bp higher across the German cash curve.
  • EGB spreads to Bunds still within 1bp of Friday’s closing levels.