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EUR Market Wrap

CREDIT UPDATE


  • Bunds are 2-4bps cheaper with our DM team flagging post-U.S data UST selling and the latest JiJi report (seems to adopt more forceful language re: the likelihood of a March hike from the BoJ) as weighing on wider core global FI markets.
  • Main/XO are +0.5bp/+5bp with FICM showing €IG/€HY cash at -2bp/flat with all €IG sectors in the green – performance pretty broad-based across sectors with Industrials lagging slightly at -1.3bp. Movers: EP Infrastructure, VF Corp, IAG, Netflix, Lufthansa, Teleperformance, Schaeffler, Prosus, Stellantis (all tighter).
  • SXXP is +0.1% with Consumers P&S outperforming at +1% (led higher by Vistry at +8% on strong earnings) and with Basic Resources -1.3% (Lanxess and Anglo American both -6%).

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