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EGBs-GILTS: Catching Up

BONDS

Bunds and Gilts are weaker on the return from the long weekend, with bear steepening seen amid solidly higher equities.

  • A bit of a catch up from Friday/Monday news, with focus on above-expected US payrolls growth in March reported on Friday.
  • Austria kicks off the week's issuance with E1.5bn of Feb-31 and Mar-51 RAGB auctioned at 1000GMT. Fairly light on the data and speaker front, however.

Latest levels:

  • Jun Bund futures (RX) down 38 ticks at 171.45 (L: 171.42 / H: 171.89)
  • Jun Gilt futures (G) down 33 ticks at 127.74 (L: 127.73 / H: 127.95)
  • Jun BTP futures (IK) down 44 ticks at 149.31 (L: 149.29 / H: 149.88)
  • Italy / German 10-Yr spread 0.8bps wider at 96.7bps

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