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EGBs - Have extended gains this afternoon

BONDS
  • EGBs have for the most part traded within this morning's ranges this afternoon.
  • But overall, contracts are better bid, since the Dovish Fed Powell.
  • Bund is up 19 ticks at the time of typing, with RM accounts on the sideline, during a quieter start of the week given the UK holiday and eyes on US ISM and NFP Friday.
  • Peripherals are mostly flat against the German 10yr, Spain is 0.6 tighter.
  • Most notable flow, was in the US, as Equities (Nasdaq and SPX), printed new record highs, albeit in thin liquidity.
  • We have nothing left on the calendar, and tomorrow sees a few European CPI releases, as well as MNI Chicago PMI.
  • Bund futures are up 0.19 today at 176.18 with 10y Bund yields down -0.5bp at -0.430% and Schatz yields up 0.2bp at -0.741%
  • BTP futures are up 0.26 today at 154.36 with 10y yields down -0.7bp at 0.624% and 2y yields unch at -0.501%
  • OAT futures are up 0.23 today at 161.86 with 10y yields down -1.0bp at -0.80% and 2y yields up 0.1bp at -0.718%.

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