US DATA: Jobless Claims Tick Up But Still Point To A Stable Labor Market

Stabilisation off lows in equity markets, coupled with reports pointing to another uptick in German borrowing in ‘27, sees EGB/Bund spreads back from session highs.

• Still, risk sentiment has still clearly deteriorated since yesterday’s close, with EUR traded vol bid and equities comfortably lower on the day, leaving spreads little changed to 2bp wider.
• Italy the most notable underperformer at the 10-Year point, with the BTP/Bund spread on track for the widest close seen since April 7.

CIBC estimate that “the FTSE Canada Universe Bond Index will experience a decent extension of +0.057yrs on May 1, primarily driven by Canada May 1/27 (C$26.0bln) rolling out of the index. The short segment will also extend by +0.039yrs for the same reason. Conversely, modified durations of the mid and long segments will remain basically unchanged that day. Duration changes in the universe index and the short segment are expected to be modestly smaller than last year’s event, which were at +0.068yrs and +0.047yrs respectively”.

@realDonaldTrump: "Iran has just informed us that they are in a “State of Collapse.” They want us to “Open the Hormuz Strait,” as soon as possible, as they try to figure out their leadership situation (Which I believe they will be able to do!). Thank you for your attention to this matter! President DONALD J. TRUMP"