May 22, 2024 06:25 GMT
Testing this week's low
BUNDS
- There was little changed for Bund and Tnotes, with both contracts trading closer to this week's tight mid ranges going into the Cash Govie open.
- Post open and following the UK inflation coming above consensus, Bund fell 27 ticks, and Tnotes 3 big ticks, but we are still trading within this week's range, with Bund printing a 130.47 low on Monday, and a 130.44 low post UK Data so far.
- Initial supports are unchanged, at 130.24, followed by 129.94 (gap).
- Resistance is still at the 131.40/131.45 area initially.
- With the UK Data out of the way, there are no notable data left for the session in Europe or the US.
- US FOMC minutes are due, but unlikely to be a market mover, with most of the attention now turning to Services PMIs Tomorrow.
- SUPPLY: Early focus will be on supply, UK £4bn 5yr (equates to 20.5k Gilt) should have limited impact, but Gilt will be driven by the UK Data beat. German €4bn Bund (equates to 33k Bund) could weigh. US Sells $16bn of 20yr Notes.
- SYNDICATION: Austria 15yr, France 20yr OETei, Portugal 30yr.
- SPEAKERS: {eu} ECB Lagarde, {gb} BoE Breeden, {us} Fed Goolsbee x2 (non Voter),
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