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Under early pressure

BUNDS
  • Bund falls 42 ticks on the cash open, and remains offered, driven by the upside beat in UK inflation, doesn't bode well for forward growth.
  • Support for German Bund is at yesterday's low, 138.26, followed by 137.97.
  • Resistance is still at 139.95, printed 139.92 high Monday, and 139.91 overnight.
  • Today sees, Italy (final) CPI, US Retail sales/IP, and Canada CPI on the data front.
  • ECB Financial Stability Review.
  • SUPPLY: German EU1.5bn 2038 (Equates to 14.7k Bund), should have limited delta hedging impact. US sells $15bn of 20yr.
  • SPEAKERS: ECB Lagarde, Muller, Centeno, Visco, Villeroy, Panetta, BoE Bailey, Broadbent, Mann, Dhingra, Fed Williams, Barr, Waller.

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