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Gilt leads EGBs higher

BONDS
  • Bobl bought in 5k, BTP 1k, OAT 1k.
  • The pullback higher is UK Gilt led, as the contract continues to close the gap.
  • This helps the Gilt/Bund spread 1.8bps tighter, but it is still trading at its widest levels this year.
  • Main resistance in the spread is at 136.46bps, the December high, now trading at 131.9bps.

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