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OAT: Citi Holds 15s30s OAT Steepener Vs. SPGBs, Eyes Wideners Vs. Bunds At 65bp

OAT

Citi hold “15s30s OAT steepeners vs. Bonos and would scale into outright widener expressions if the 10-Year OAT-Bund spread reaches 65bp.”

  • They note that “the political turmoil has weighed on portfolio inflows for France, while other liquid Eurozone jurisdictions still attract robust demand.”
  • They believe that “the nomination of a PM is only a mild near-term relief, with upcoming budget a key test of France’s fiscal fortitude ahead of rating reviews.”
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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