Light Pressure

Core global FI markets come under some light pressure as crude oil futures and e-minis see another uptick, while it is also worth noting that the FT has ran a story which notes that “the UK is proposing to scrap EU restrictions on short selling of sovereign bonds introduced during the eurozone debt crisis, arguing that making it easier for investors such as hedge funds to bet against government bonds will boost liquidity in the £2.4tn gilt market.” Bund futures register incremental fresh session lows on the move, while Gilt futures hover just above their early afternoon base. U.S. Tsys outperform across the curve, richening by a negligible amount to 2bp vs. their major global counterparts (dependent on the maturity point).