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Further widening in the OAT/Bund spread

BONDS
  • OAT/Bund spread continues to widen, albeit by just another 0.4bp in early trade.
  • Next upside target is at 48.44bps, the 61.8% retrace of the Dec/Jan fall, but investor will likely look for initial resistance at 50.00bps.

Chart source: MNI/Bloomberg

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