Free Trial

German Bull Flattening

EGB SUMMARY

A generally risk-off day (equities off 1+%) has seen strong bull flattening in the German curve.

The accounts of the ECB July meeting emphasised "uncertainty" but didn't have much lasting market impact. Likewise, supply this morning from France failed to move the needle much.

BTPs have traded flat on the session after a day of choppy trade, but with Bunds rallying, spreads have widened. ** Latest levels:

  • Sep Bund futures (RX) up 36 ticks at 176.93 (L: 176.45 / H: 177.18)
  • Sep BTP futures (IK) up 1 ticks at 148.07 (L: 147.89 / H: 148.27)
  • Sep OAT futures (OA) up 26 ticks at 168.81 (L: 168.42 / H: 169.05)
  • Italy / German 10-Yr spread 2.9bps wider at 141.4bps

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.