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EGB/Gilt

BOND SUMMARY

It has been a relatively uneven and cautious start to the week with oil and equities trading weaker, the dollar on the backfoot against G10 FX and EGBs trading mixed.

  • The gilt curve is marginally flatter with the 2s30s spread 2bp narrower on the day.
  • Bunds have traded weaker with cash yields 1bp higher.
  • OATs trade broadly in line with bunds. Last yields: 2-year -0.6902%, 5-year -0.6641%, 10-year -0.3361%, 30-year 0.3495%.
  • BTPs trade close to unch on the day.
  • Supply this morning came from Germany (Bubills, EUR1.78bn allotted). France will sell a combination of 3-/6-/12-/month BTFs for E5.8-7.0bn.

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