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Selling emerging

SCHATZ
  • Some selling emerging in Schatz, 5k sold, helping Bund drifts off session high.
  • Govies and rates unwind some of the 100 spike in Bund an hour pre cash open, following the CS headline founding material weakness in financial reporting.
  • Also recall, that we have very heavy EU supply this morning, ahead of the awaited US CPI.
  • Supply: Netherlands EU2bn 2027 (equates to 13.8k Bobl), Italy 2072, 2035, 2029 (equates combined 49.7k BTP), 2026 (Equate to 49.9k 2yr BTP). UK 2033 (equates to 23.5k Gilt), German EU5bn Bobl (equates to 42.2k Bobl), should all weigh into the bidding deadline.

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