MNI BRIEF: ECB Cut On Disinflationary Process Trust-Centeno

CANADA MAY JOBS +26.7K VS FORECAST +20K, PRIOR +90.4K

MNI China Daily Summary: Friday, June 7

MNI BRIEF: Mexico Inflation 4.69% In May, Below Consensus

MNI BRIEF: China May Forex Reserves Rise On Weakened Dollar

MNI BRIEF: China Service Trade Grows Rapidly, Deficit Expands

MNI: US APR CONSUMER CREDIT +$6.4B

MNI: BAKER HUGHES US RIG COUNT 594; OIL RIGS 492; GAS RIGS 98

EZ/UK T-Bill Calendar: Germany, France Auction on Monday

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

MNI: Growth Drag From Net Zero Carbon Goal Can Be Offset-OECD

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Gilts remain the underperformers

BONDS
  • Treasuries and Bunds remain comfortably above Friday's lows with this morning's German IFO a bit stronger than expected, but gilts are the big movers of the day this morning with yields up 11-13bp.
  • We noted earlier that we think that these moves are driven by a combination of an FT story about the government agreeing a cap to unit energy prices for businesses through to March 2024 as well as the BOE announcing that long gilts will be sold from its APF starting from late January (the amount is not a surprise, but some had been expecting long gilts to not be sold until Q2).
  • This week we will also receive funding plans from Italy (likely today, tomorrow or potentially Wednesday), the EU (there is an investor call scheduled tomorrow) and Greece (who published on 23 December last year) and Finland (who published on 22 December last year). This morning we received the 2023 plans for the EFSF / ESM.
  • There will also be continued focus on energy markets with the EU set to discuss the price cap for natgas - although there are signs of warming weather in parts of Europe which are providing a bit of relief to markets this morning.
  • TY1 futures are down -0-8+ today at 114-17+ with 10y UST yields up 3.7bp at 3.525% and 2y yields down -0.4bp at 4.177%.
  • Bund futures are down -0.17 today at 137.26 with 10y Bund yields up 3.5bp at 2.183% and Schatz yields down -0.3bp at 2.369%.
  • Gilt futures are down -0.83 today at 102.75 with 10y yields up 11.5bp at 3.439% and 2y yields up 11.7bp at 3.565%.
HomepageBulletMarketsFixed Income BulletsForeign Exchange Bullets

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.