OAT: Desks Note Varying Degrees Of Widening Risks For OATs

Aug-27 07:26

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The well-documented political situation in France has provided headwinds for OATs this week, with a ...

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EURIBOR: Some big Volumes in the back Calendar Spreads

Jul-28 07:25
  • We noted some notable early flow in the Blue ERH9/M9 calendar spread, being sold down to 4.5 from a 5.5 record high printed last Week.
  • There's now a whopping 34k ERM7/U7 spread seller, which explains the massive volumes in those expiries.

EGBS: Peripherals Outperform As Equities Rally

Jul-28 07:22

German yields are now 1.5-2.5bp lower across the curve, with the belly & intermediates outperforming.

  • EGB spreads to Bunds are little changed to 1bp tighter, with the periphery outperforming as equities firm in the wake of the U.S.-EU trade deal.
  • Ongoing adjustments to that deal and focus on the Sino-U.S. meeting in Stockholm are noted.

BONDS: Firmer Again

Jul-28 07:17

No fresh headlines as core global FI futures firm and equity index futures tick away from best levels. Bunds close the opening gap lower, while TY futures trade to the highest level seen since Wednesday.

  • Note that Euro Stoxx 50 futures were not able to test early July highs, before a pullback from best levels accelerated around the cash equity open.