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EGBs-GILTS: Gilts Outperforming Early

BOND SUMMARY

Gilts are outperforming early Friday and a little stronger on the session, with Bunds turning lower as risk appetite picks up a bit from the previous couple of days.

  • Equities are in the green early, with euro and sterling higher. Periphery spreads a little wider, though.
  • ECB publishes the account of its April meeting at 0900BST.
  • Otherwise, a fairly bare data / speaker / supply slate today in Europe, with relatively more attention (again) on US data: retail sales feature.

Latest levels:

  • Jun Bund futures (RX) down 5 ticks at 168.84 (L: 168.77 / H: 169.05)
  • Jun Gilt futures (G) up 12 ticks at 127.2 (L: 127.12 / H: 127.24)
  • Jun BTP futures (IK) down 22 ticks at 145.36 (L: 145.31 / H: 145.62)
  • Italy / German 10-Yr spread 1bps wider at 118.7bps

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