Free Trial

EGBS: Bunds See Tight Overnight Range Ahead Of SP/FR Supply, ECB Meeting

EGBS

Bund futures have broken out of the tight overnight range, though are still just +4 at 132.53 and short of the opening gap lower.

  • There was little net reaction to the UK labour market data, with wage metrics in line with consensus.
  • US Treasuries softened following the NY-close, amid further concerns around Biden’s bid for re-election after he fell ill with covid.
  • Bunds remain in a short-term technical bull cycle, with first resistance at 132.66 (yesterday’s high), before 132.80 (July 25 high) and the bull trigger at 133.21 (June 14 high).
  • The ECB meeting headlines today’s regional calendar, though no change in policy settings is expected. Our full preview is here: https://roar-assets-auto.rbl.ms/files/65234/ECB%20Preview%20July%202024.pdf
  • Supply is due from Spain (Bono/Oblis) and France (MT OATs and IL OATs) this morning, which should weigh in the run-up to the respective bidding deadlines.

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.