Recover from the session lows

A more steady afternoon session for EGBs.

• Bund have retraced some of the morning weakness, more of an unwound, as Equities moves back towards the session high.
• The move looks more flow, position related, with the street brushing aside the US data beat this afternoon.
• Higher PPI (inflation), and improvement in employment (IJC)
• Curves have faded their steepening bias to trade flat on the day.
• Peripherals are mostly wider with Italy by 2.5bps.
• Looking ahead, BoC Macklenn, Fed Waller and Bullard are still scheduled
• Bund futures are down -0.03 today at 168.91 with 10y Bund yields up 0.6bp at -0.119% and Schatz yields down -0.3bp at -0.665%.
• BTP futures are down -0.26 today at 145.59 with 10y yields up 3.0bp at 1.053% and 2y yields up 1.4bp at -0.235%.
• OAT futures are down -0.11 today at 159.10 with 10y yields up 1.1bp at 0.270% and 2y yields down -0.3bp at -0.627%.