ECB: Portugal Set To Replace Centeno - Bloomberg Sources

• In the FI space, Bund futures have traded lower today, extending the reversal from Friday’s session high. For now, the move down is considered corrective and key short-term support to watch lies at 130.12, the Jun 5 low. A break of this level would highlight a stronger reversal and undermine the bullish theme. Key short-term resistance and the bull trigger, has been defined at 131.95, the Jun 13 high.
• A bullish condition in Gilt futures remains intact and Friday’s steep sell-off from the session high is for now, considered corrective. The move higher last week marks an extension of the recent breach of resistance at 91.87, the May 20 high. This signals scope for a test of 93.73, a 1.764 projection of the May 22 - 27 - 29 price swing. Note the uptrend is in overbought territory, a deeper pullback would unwind this position. First firm support lies at 92.04, the 20-day EMA.

• Reportedly over 72,500 SFRH6/SFRM6 spds sold at -0.195 - hitting the bid, remains well offered.

Leading volume in the SOFR futures last few minutes:

• over 65,000 SFRH6 from 96.335 to -.30, pushes total volume to 215,199
• over 60,000 SFRM6 from 96.525 to -.53, pushes total volume to 182,082