NGEU syndication dominates data

Core fixed income has retreated from the highs seen yesterday with gilts leading Treasuries and Bunds lower.

• The main event of the morning has been the NGEU syndication with a dual-tranche 5-year/30-year transaction sized at a combined E15bln (and seeing books in excess of E130bln).
• The first CPI prints from Europe have also been watched closely with German state CPI so far coming in broadly in line with expectations for the national print. Spanish HICP was in line with expectations rising 2.4% Y/Y (unch from May).
• Looking ahead, Lagarde is due to speak later while the only Fed speak due to make an appearance is Richmond Fed President Tom Barkin due to take part in an MNI webinar at 14:00BST/9:00ET (you can register here).
• TY1 futures are down -0-2+ today at 132-06 with 10y UST yields up 0.8bp at 1.486% and 2y yields up 0.2bp at 0.257%.
• Bund futures are down -0.08 today at 172.18 with 10y Bund yields up 1.0bp at -0.181% and Schatz yields up 0.3bp at -0.655%.
• Gilt futures are down -0.10 today at 127.86 with 10y yields up 2.2bp at 0.743% and 2y yields up 0.9bp at 0.062%.