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EGBS: Politics And Fiscal Worry Weighs On Bunds

EGBS

Bunds underperform against most EGBs and core global FI peers this morning. No fresh headline drivers but the combination of fiscal and political issues outlined in our early EGB bullet provide the likely sources of pressure.

  • Friday’s low breached in Bund futures, although more meaningful support is located at 131.00.
  • Yields 0.5-4.0bp higher, curve bear flattens.
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Bunds underperform against most EGBs and core global FI peers this morning. No fresh headline drivers but the combination of fiscal and political issues outlined in our early EGB bullet provide the likely sources of pressure.

  • Friday’s low breached in Bund futures, although more meaningful support is located at 131.00.
  • Yields 0.5-4.0bp higher, curve bear flattens.