Free Trial

The Dec-17 Bund contract opened.........>

EGB SUMMARY
EGB SUMMARY: The Dec-17 Bund contract opened slightly firmer to reflect an
uplift in late US trading as fresh money got deployed and geo-politics concerned
markets.
- Prices drifted lower for a while before a small pick up to 162.84 as four
decent sized swap trades went through just before 8am London time. These looked
like receivers in 5Y, 8Y, 10Y and 12Y but might also have been a complicated
curve steepener.
- German factory orders data for July fell 0.7%M/M, this was short of
expectations but factory orders remain a bright spot of the recovery.
- There have been no significant development in the Korean peninsular and this
is allowing EGBs to reverse some of their recent risk-on rally.
- The 10Y yield is close to unchanged so far today at 0.338%, there is a small
bid to the very long end of the curve. Peripheral spreads are fairly stable so
far.
- Germany sells E3bln 5Y Obls later. Last month, the auction was technically
uncovered but size is lower this month & liquidity is higher.  

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.