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Waiting on Brexit, US stimulus and Fed tomorrow

EGB SUMMARY

EGB have continued trading within this morning's ranges, on a slow news day, and no Brexit headlines for half a day.

  • Although Bund trades underwater, the contract is in a 30 ticks range (178.27-178.57), with investors on the sideline, and waiting news on Brexit, US stimulus and the Fed tomorrow.
  • Peripheral have fared better than Germany and trade tighter against the German 10yr.
  • Greece leads at 4.5bps.Portugal and Spain 10 yr yield have extended deeper into negative territory today, but are trading off their respective low.
  • Mar Bund futures (RX) down 6 ticks at 178.36 (L: 178.27 / H: 178.57)
  • Germany: The 2-Yr yield is up 0.7bps at -0.764%, 5-Yr is up 0.6bps at -0.792%, 10-Yr is up 0.3bps at -0.617%, and 30-Yr is up 0.1bps at -0.211%.
  • Mar Gilt futures (G) down 19 ticks at 135 (L: 134.93 / H: 135.38)
  • UK: The 2-Yr yield is up 2.5bps at -0.064%, 5-Yr is up 2bps at -0.041%, 10-Yr is up 1.7bps at 0.239%, and 30-Yr is up 3bps at 0.792%.
  • Mar BTP futures (IK) up 22 ticks at 152.4 (L: 152.15 / H: 152.49)
  • Italy / German 10-Yr spread 2.3bps tighter at 113.8bps
  • Mar OAT futures (OA) down 1 ticks at 168.32 (L: 168.23 / H: 168.48)

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