Free Trial

EGBs are weaker early Wednesday, with...>

EGB SUMMARY
EGB SUMMARY: EGBs are weaker early Wednesday, with issuance continuing apace to
ring in the New Year.
- The Mar 19 Bund future is down 9 ticks at 163.65, with 2-Yr yield down 0.1bps
at -0.576%, 5-Yr up 0.4bps at -0.316%, and 30-Yr up 0.8bps at 0.877%.
- Italy also weaker (Mar 19 BTP future is down 25 ticks at 125.48), though 10-Yr
BTPs underperforming the rest of EGB periphery by around 2bps (vs Spain, Greece,
Portugal).
- Long-end issuance appears to be a key factor weighing on EGBs.
- Following on from Belgium and Slovenia Tuesday, Portugal and Ireland selling
benchmark 10-Yrs via syndication Wednesday (PT guidance at MS+116bps, IR at
MS+29bps). - In addition to these, Germany auctioning new 10-Yr Bund benchmark.
- Italy planning 15-yr benchmark sale as well, Reuters reported Tuesday - in
addition to tapping 3-/7-/30-Yr at auction on Friday.
- Bigger than expected fall in the French Insee consumer confidence survey with
the index at the lowest reading now since Nov 2014 (Gilets Jaunes impact).
- December Euro Area unemployment data out at 1000GMT.

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.