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EUR Market Wrap

CREDIT UPDATE


  • 2y/10y bunds are -1bp/+1bp - The broader macro calendar is very light until the US BLS payrolls revisions at 1500BST/1600CET, with FOMC minutes due at 1900BST. Regional focus remains on tomorrow’s August flash PMIs and Q2 negotiated wages.
  • Main/XO are -0.7bp/-3bp at 53.1bp/291bp while €IG/€HY looks flat/-1bp. Primary is open with deals from Swedbank (3yr SP FRN), PACCAR Financial (EUR 300mn 3yr SUN), National Australia Bank (5.5yr SUN), BBVA (12NC7 T2), ABN AMRO 3 (EUR 1.25bn 3yr covered), UPM-Kymmene (EUR 600mn 10y SUN). Curve movers include Heimstaden (8-9bps tighter), Mobico 31s (6bp tighter), UPM (5bp wider), National Australia Bank (up to 7bp wider).
  • SXXP is +0.3% while SPX futures are +0.2%. €IG movers include Mobico +19%, Brambles +9%, H Lundbeck, Goodman -4%.

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