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EGBs/Bund- Spreads dominates

BONDS
  • A calmer session for EGBs and Bund, but still a decent 129 ticks range. for the German contract.
  • Desks have taken advantage of this by rolling more positions into the June contract.
  • Bund and EGBs have continued to unwind some of this week's rallies, but mostly trade off their respective lows.
  • Peripherals are all wider, with Italy by 2.9bps.
  • The only exception is Greece that's trades 2.2bps tighter versus the German 10yr.
  • Looking ahead, Fed Powell (Q&A), Barkin and Williams.
  • Gilt futures are down 86 at 124.17.
  • Bund futures are down -0.65 today at 168.73 with 10y Bund yields up 3.4bp at 0.057% and Schatz yields up 3.0bp at -0.597%.
  • BTP futures are down -0.71 today at 143.02 with 10y yields up 6.0bp at 1.611% and 2y yields up 5.5bp at -0.48%.
  • OAT futures are down -0.63 today at 160.05 with 10y yields up 4.5bp at 0.526% and 2y yields up 3.3bp at -0.502%

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