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EGBs follow the US election results

EGB SUMMARY

The US election continues to dominate sentiment with Biden now priced at around 90% to win in betting markets. Bunds have largely followed Treasuries today, albeit with a lower beta.

  • Peripheral spreads which had been a little wider in the morning are now marginally lower as the day draws to a close.
  • Bund futures are up 0.39 today at 176.41 with 10y Bund yields down -2.4bp at -0.645% and Schatz yields down -0.4bp at -0.803%.
  • BTP futures are up 0.33 today at 150.13 with 10y yields down -3.2bp at 0.701% and 2y yields down -1.2bp at -0.364%.
  • OAT futures are up 0.38 today at 170.49 with 10y yields down -2.5bp at -0.370% and 2y yields down -0.3bp at -0.730%.

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