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Remains under pressure post Cash open.

BUNDS
  • German final CPI was inline on the Cash open, but the German 10yr still finds an underlying bid, after gapping lower on the open.
  • Overall, Bund is still within that 134.87/136.25 range and trades in a tight 25 ticks range post open.
  • Support is still at 134.87 initially, while resistance moves down to the 135.25 area, followed by 135.80.
  • Today includes, Italian final CPI, ECB 1y/3y CPI expectations, German ZEW, and there's no real Tier 1 data out of the US.
  • SUPPLY: UK 2033 linker (won't impact Gilt), Germany EU4bn Bobl (equates to 37.2k Bobl) could weigh.
  • SYNDICATION: France 25yr Green Bond.
  • SPEAKERS: ECB Villeroy and IMF Gopinath in Davos, BoE Bailey at the Lords, Fed Waller.

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