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New multi year high in Yields

BONDS
  • A decent start for Govies, with US Yield pushing higher leading the way.
  • Bund 10yr Yield trade at another multi year high, above 0.78%, but short of the net psychological resistance at 0.80%.
  • The latter would equate to 155.29 today.
  • Italian 10yr yield has cleared 2.40% in 10yr Yield, albeit off the high at the time of typing.
  • Peripherals are all tighter, with Greece leading by a decent 12.2bps, Italy is 6.2bps tighter.
  • Gilt remains under pressure and through new intraday lows, pushing the 10yr Yield to the highest level since 15/01/16, through 1.80%.
  • Next support comes at 118.93 Low Apr 26 2016 (cont).
  • Looking ahead, there are no tier 1 data left for the session.
  • Speakers include, Fed Bostic, Bowman, Waller and Evans.
  • But attention turns to UK and US inflation data, as well as the ECB this week.
  • Also some expected hikes from the RNBZ and BoC.

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