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Under early pressure

BUNDS
  • Bund has caught up with Treasuries overnight after they sold off following the NFP beat on Friday, and saw some downside continuation Yesterday, although AHE was again on the weaker side versus last readings.
  • As such, the German 10yr future gaped lower, and is seeing some downside continuation helped by the cash open, but risk is surprisingly on the front foot.
  • Bund support comes at 135.85, while resistance will be at 137.28 (gap).
  • Today only sees the EU Retail sales as the notable data, and investors will be eyeing the US CPI tomorrow.
  • SPEAKERS: Fed Goolsbee, Harker, and ECB Villeroy.

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