MNI Europe Pi (Positioning Indicator):........>

BONDS: MNI Europe Pi (Positioning Indicator): Schatz Shorts

- There was a move in recent weeks toward structural shorts in Schatz, while OAT

longs have begun to re-emerge. Broadly speaking EGB / Gilt positioning otherwise

remained flat-to-long ahead of the key July 25 ECB decision, with open interest

in most contracts having peaked at least 2 weeks ago.

- GERMANY: A sharp drop in Schatz OI (-0.9%, the 9th decline in 10 sessions)

alongside rising prices on Friday - indicative of short covering - was not

enough to keep structural positioning from going short over the past 2 weeks.

Meanwhile, Bobl and Buxl positioning remains flat, and Bunds remains long.

- OAT: Longs have begun to re-emerge, having been flat most of the past year.

The trend since March has been toward new longs, including last week.

- GILT: While remaining flat, Gilt structural positioning is a little less short

than it was two weeks ago. Last week saw short covering.

- BTP: Structural longs remain in BTPs, which has been more or less the case

since March. Last week saw short covering.

- For full analysis see: https://emedia.marketnews.com/MNI-PI22072019.pdf