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EUR Market Wrap

CREDIT UPDATE

• Bunds are 0-2bp wider – DM team flagged supply-related pressure, largely stemming from today’s EU and Italian syndications that was countered by a reversal lower in European equities and a downtick in crude oil futures. Weak industrial production data from Italy and Spain did not have any tangible market impact.

• Main/XO are +0.4bp/+2bp at 55.7bp/301bp while €IG/€HY looks flat/-1bp. Main curve €IG mover is RENAUL (up to 7bp wider).

• SXXP is -0.1% while SPX futures are flat too. €IG movers include Aroundtown +11%, Capgemini +7%, Aliaxis -7%, BMW -6%, Alstom -5%.

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