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Portugal/Bund spread targets the 2023 low

BUNDS
  • The majority of the developed countries spread are wider against the German 10yr, but the Portugal 10yr spread look to test the March low at 80.54bps, which is also the tightest print since March 2022.
  • Looking at the chart, could suggest a falling wedge, which would be bullish.
  • Nonetheless, a clear break below that 2023 low and the 80bps mark, will open to 73.33bps.

Chart source: MNI/Bloomberg

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