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Little Movement In EGB Spreads Vs. Bunds, Bunds Back From Post-UK CPI Highs

EGBS

Bund futures move back below unchanged levels as the post-UK CPI impulse starts to wane, leaving the contract -5. German cash benchmarks sit little changed to 1bp cheaper.

  • A quick reminder that bears target a break of initial support at 129.30, which held to the tick earlier.
  • 10-Year core/semi-core EGB spreads are little changed vs. Bunds, while peripherals are flat to a touch tighter as Italy outperforms.
  • The presence of impending 10-Year supply hasn’t resulted in any tangible widening pressure for GGBs.
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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