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Underpinned on Risk Off

BUNDS
  • Bund stays underpinned since the cash open, following the risk off tone in Asia (Evergrande worries).
  • Outlook remains unchanged, tilted to the downside, but with attention turning to the Fed, it is likely that the contract might trade within tight ranges going into Wednesday.
  • Downside is unchanged at -0.246% yield level which equate to the 170.50 area.
  • We have no tier 1 data left for the session, early focus will be on speakers, which today include ECB Schnabel (voter, leaning Hawk) and Villeroy (non voter, Dove)

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