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Light Steepening As Germany Mandates For Aug-53 Tap

BUNDS

German 5s30s curve hits steepest levels of the day as Germany mandates banks to issue a EUR3bn syndicated tap of its Aug-53 benchmark line.

  • Bund futures unwind any modest downwards pressure that came alongside the announcement to last trade -20, ~20 off lows.
  • The 5s/30s curve is still ~0.5bp flatter on the day, with the major German cash benchmarks running 1.5-3.5bp cheaper.
  • The move doesn’t come as a complete surprise given known German financing plans, with some sell-side desks already on the lookout for such a move as soon as this week.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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