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EUR Market Wrap

CREDIT UPDATE


  • Bunds opened tighter and have widened since to sit slightly wider DoD – our DM team flagged heavy supply working against dovish ECB speak from Wunsch and Kazaks.
  • Main/XO are -1bp/-5.5bp while FICM shows €IG/€HY cash at -2bp/-3bp despite the busy primary with all €IG sectors in the green and Sub Fins outperforming at -4bp while Materials and Tech look to relatively lagging at -1bp. Movers: EP Infrastructure (-5-7bps), Edenred (-3-5bps), Hochtief (mixed, up to 9bps tighter), McKesson (-3-4bps despite a whistleblower story), Bristol Myers Squibb (+3bp),
  • SXXP is +0.2% with most sectors muted aside from Retail with nearly 3% of gains (led by Zalando +14% on strong earnings).

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