Free Trial

UBS Look To Fade Any Widening To 55bp Vs. Bunds

OAT

Late on Tuesday UBS wrote “uncertainty about a potential credit rating downgrade for France and further resilience in US data could keep upward pressure on OAT spreads.”

  • Still, they believe that “any widening in 10Y OAT/Bunds close to 55bp offers an attractive tactical buying opportunity” and expect the 10y OAT/Bund spread to finish 2024 at 40bp.
  • They point to cyclical OAT-supportive factors, including a widely expected June ECB cut and investors’ appetite for carry.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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.