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There was little fresh news regarding...>

EGB SUMMARY
EGB SUMMARY: There was little fresh news regarding the stand-off on the Korean
peninsular on Wednesday and this removed a pillar of support for Bunds. 
- There was a small wiggle in prices as a squawk service incorrectly referenced
an old earthquake report from the weekend. The mistake was quickly corrected but
not before the rumour of a new nuclear test had shot around the 'Street'. As the
market calmed, the decline in price took the Bund lower than where it started.
- In the afternoon, Canada made a surprise 25bp rate hike to 1% that pushed the
Bund contract about 5 ticks lower. Further downward pressure on the Bund built
as equities rallied into the close of trading.
- The German 5Y auction went through smoothly on Wednesday morning but didn't
create a ripple in the markets.
- Peripheral markets were under modest pressure through the course of the day.
Spain's excuse was yesterday's E1bln ICO 5Y syndicated deal ahead of the regular
Spanish auctions on Thursday. Only 23% of this deal was sold in Spain. 10Y
Bund-Bonos spread widened by 2.2bp to 122bp.

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