Free Trial

/EGBs-GILTS: A strong risk-on bid in...>

BOND SUMMARY
BOND SUMMARY: /EGBs-GILTS: A strong risk-on bid in the overnight session has
faded somewhat, with Bund futures now nearly flat after a drop at the open.
- But equities are up strongly (Eurostoxx +2.8%, FTSE+3.0%) and still close to
highs, with optimism over a Gilead treatment for COVID-19.
- Periphery EGB spreads also benefiting, led again by Italy, 10-Yr spread 6.5bps
tighter vs Bunds at 224.2bps (Spain, Portugal, Greece in 1-3bps too).~
- Bund and Gilt curves largely flat.
- Fairly light calendar today: BOE announces next week's QE schedule at 1200BST;
final Eurozone inflation / construction data at 1000BST likely of little note.
- ECB's Rehn speaks at 1400BST.
- ** Latest levels:
* Jun Bund futures (RX) down 14 ticks at 172.53 (L: 172.17 / H: 172.67)
* Jun Gilt futures (G) down 5 ticks at 136.88 (L: 136.7 / H: 136.97)
* Jun BTP futures (IK) up 64 ticks at 138.09 (L: 137.7 / H: 138.52)
* Italy / German 10-Yr spread 6.4bps tighter at 224.3bps

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.