Free Trial

EGBs/GILTs: Following dovish...........>

BOND SUMMARY
BOND SUMMARY: EGBs/GILTs: Following dovish comments yesterday from BoE Governor
Mark Carney, MPC member Silvana Tenreyro has indicated that she may consider
voting for a policy rate cut in the coming months if economic growth does not
pick up. 
- The apparent dovish shift has kept up the bid in gilts. Yields are 2-3bp lower
across the curve. 
- EGBs have broadly rallied this morning.
- Bunds are trading slightly firmer. Current yield levels: 2-year -0.602%,
5-year -0.500%, 10-year -0.191%, 30-year 0.315%.
- Italian BTPs have been the big mover on the day, extending yesterday's gains
and with spreads over bunds narrowing. The curve has bull flattened with 2s10s
trading down 4bp.
- SPGBs rallied earlier in the session but have given back most of the gains.
The curve is now trading close to unch on the day. 

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.