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German supply, the early focus

BUNDS
  • Bund remains off yesterday's low, after the contract found a base at the 10yr Yield July peak, printed 1.372% vs 1.378% level.
  • This equated to circa 150.18 yesterday, and future bounced at 150.23.
  • Regardless, the pull back had very little to do with technical, and instead, US data misses were the main drivers.
  • Support will still be seen at the 150.18 area, while resistance moves down to 151.03.
  • Today sees no notable data out of Europe, focus will be on the US prelim Durable Goods.
  • SUPPLY: Early focus in Europe, will be on the German EU4bn 10yr (equates to 28.3k Bund).

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