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USTs higher but Bunds and gilts little changed on the day

BONDS
  • Core fixed income moved higher on the European open. USTs have remained higher on the day but gilts and Bunds have pretty much retraced all their move higher.
  • The main data release of the morning was the German IFO which saw expectations rise more than expected but the current assessment deteriorate on the month.
  • Looking ahead the main data releases for the remainder of the day will be the Chicago Fed and Dallas Fed activity indices as well as Belgian business confidence.
  • TY1 futures are up 0-6+ today at 114-21+ with 10y UST yields down -3.3bp at 3.541% and 2y yields down -2.8bp at 4.156%.
  • Bund futures are up 0.11 today at 133.70 with 10y Bund yields unch at 2.479% and Schatz yields up 1.4bp at 2.924%.
  • Gilt futures are down -0.06 today at 100.76 with 10y yields up 1.6bp at 3.771% and 2y yields up 3.2bp at 3.764%.

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