MNI China Daily Summary: Wednesday, July 3

MNI BRIEF:BOJ Q1 Output Gap Hits 16th Negative Reading In Row

MNI: PBOC Sets Yuan Parity Higher At 7.1312 Weds; -0.34% Y/Y

MNI: PBOC Net Drains CNY248 Bln Via OMO Weds; Rates Unchanged

CHINA PBOC CONDUCTS CNY2 BILLION VIA 7-DAY REVERSE REPOS WEDS

CHINA SETS YUAN CENTRAL PARITY AT 7.1312 WEDS VS 7.1291

PPI a Tenth Softer than Exp; Further NEIG HICP Disinflation to Come?

MNI: EUROZONE MAY PPI -0.2% M/M, -4.2% Y/Y

Services PMI points to wage bills increasing operating expenses

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

EGBS: 10-year Supply Weighs On Bund Futures

EGBS
CEEMEAEurozoneBulletGlobalFixed Income BulletsRegion

Bund futures are -6 at 130.32, lagging OAT and BTP counterparts.

  • The impending launch of the new 10-year benchmark has weighed on Bund futures this morning, while OATs and BTPs have found support from latest political developments in France.
  • Over 200 candidates from centrist/left-wing parties have withdrawn from second round elections in France, in order to limit right-wing gains.
  • The Eurozone June services/composite PMIs saw small upward revisions, while PPI was a little below consensus – neither were major market movers.
  • The German cash curve has twist flattened, with 2-year yields ~4bps higher and 30-year yields around 1bp lower at typing.
  • 10-year peripheral spreads to Bunds have tightened this morning, though the 10-year German benchmark roll has overstated these moves somewhat.
  • We don’t expect today’s remaining ECB speakers to add much new to the near-term policy debate, with broader focus on this afternoon’s round of US macro data.
142 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

Bund futures are -6 at 130.32, lagging OAT and BTP counterparts.

  • The impending launch of the new 10-year benchmark has weighed on Bund futures this morning, while OATs and BTPs have found support from latest political developments in France.
  • Over 200 candidates from centrist/left-wing parties have withdrawn from second round elections in France, in order to limit right-wing gains.
  • The Eurozone June services/composite PMIs saw small upward revisions, while PPI was a little below consensus – neither were major market movers.
  • The German cash curve has twist flattened, with 2-year yields ~4bps higher and 30-year yields around 1bp lower at typing.
  • 10-year peripheral spreads to Bunds have tightened this morning, though the 10-year German benchmark roll has overstated these moves somewhat.
  • We don’t expect today’s remaining ECB speakers to add much new to the near-term policy debate, with broader focus on this afternoon’s round of US macro data.