Free Trial
US TSYS/SUPPLY

Review 20Y Bond Auction - Large Tail

EURUSD TECHS

Still Trading Inside The Bear Channel

US TSYS/SUPPLY

WI 20Y Bond

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access

EGB/Gilt - Gilt outperforms

BONDS
  • EGBs and have stayed within this morning ranges this afternoon.
  • Bund has nonetheless traded in another 208 ticks range.
  • Although futures have mostly retraced lower this afternoon, they have bounced after the US final Michigan 5-10yr inflation expectation was revised lower.
  • Notable drop in both 1yr and 5-10y inflation expectations in this survey - both very much unexpected:
  • 1yr down to 5.3% from 5.4%
  • 5-10y down to 3.1% from 3.3%
  • This is the survey that Powell referenced at the Fed's last rate decision - so carries extra weight this month, hence spike higher across equity markets and downside pressure on yields.
  • Peripherals are wider, besides Greece that sits close to flat.
  • Gilt outperforms Germany, bringing the Gilt/Bund spread 2.9bps tighter.
  • Looking ahead, Fed Daly will be speaking twice, on a Fox interview, and at Shadow Open Market Conference.
129 words

To read the full story

Why Subscribe to

MarketNews.com

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.
  • EGBs and have stayed within this morning ranges this afternoon.
  • Bund has nonetheless traded in another 208 ticks range.
  • Although futures have mostly retraced lower this afternoon, they have bounced after the US final Michigan 5-10yr inflation expectation was revised lower.
  • Notable drop in both 1yr and 5-10y inflation expectations in this survey - both very much unexpected:
  • 1yr down to 5.3% from 5.4%
  • 5-10y down to 3.1% from 3.3%
  • This is the survey that Powell referenced at the Fed's last rate decision - so carries extra weight this month, hence spike higher across equity markets and downside pressure on yields.
  • Peripherals are wider, besides Greece that sits close to flat.
  • Gilt outperforms Germany, bringing the Gilt/Bund spread 2.9bps tighter.
  • Looking ahead, Fed Daly will be speaking twice, on a Fox interview, and at Shadow Open Market Conference.