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Supply and PMIs in focus today

BUNDS
  • Bund saw some small selling on the cash open, following the EU car sales data, mostly fast money flow, given the light volumes.
  • The contract fell 10 ticks on the release, but remains in a 20 ticks range.
  • Support is at 134.22, and resistance is seen at 135.33, followed by 135.60 initially.
  • Focus turns to FR/GE/EC/UK/US prelim services PMIs, and German ZEW.
  • SUPPLY: German EU5bn Bobl (Equates to 45.9k Bobl), should weigh into the bidding deadline, US sells $42bn of 2yr Notes.
  • SYNDICATION: Spain 15yr.

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