OUTLOOK: Price Signal Summary - Gilts Remain Vulnerable
May-25 11:05
- In the FI space, Bund futures continue to trade closer to recent lows and remain in bear mode. Support at 134.99, the May 10 low, has been breached and this strengthens the bearish theme. The focus is on key support at 133.10, the Apr 19 low. On the upside, key short-term resistance has been defined at 137.29, the May 11 high. Initial resistance is 134.97, the 20-day EMA.
- The primary trend direction in Gilt futures remains down following the recent acceleration of the bear cycle. Sights are set on 94.76 next, 76.4% of the Oct 12 - Nov 24 2022 rally (cont). Initial resistance is at Wednesday’s intraday high of 96.74. Note that the trend is oversold and a corrective rebound would allow the oversold condition to unwind.
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EGB SYNDICATION: Finland 10-year RFGB mandate
Apr-25 11:03
"The Republic of Finland has mandated BNP PARIBAS, CITI, CREDIT AGRICOLE CIB, DEUTSCHE BANK and NOMURA to lead manage its forthcoming EUR 3bn (no-grow) long 10-year benchmark transaction. The transaction will have a 15 September 2033 maturity and is expected to be launched in the near future subject to market conditions."
From market source
- MNI expects the transaction to take place tomorrow.
OUTLOOK: Price Signal Summary - Short-Term Gains In Bunds Are Considered Corrective
Apr-25 11:02
- In the FI space, Bund futures maintain a bearish tone. Recent weakness resulted in a break of the 20-day EMA, at 134.81, and a key short-term support at 134.70 has been cleared, Mar 31 low. The focus is on 132.70, 76.4% retracement of the Mar 2 - 20 rally. A move above 138.09, the Apr 6 high, is required to reinstate a stronger bullish theme. Initial firm resistance is seen at the 20-day EMA and short-term gains are considered corrective.
- Gilt futures remain in a downtrend and recent short-term gains are considered corrective. Price has recently breached support at 102.74, the Mar 31 low and a bear trigger. The extension lower has also resulted in a test of the 100.00 handle. A continuation lower would open 99.55, the Mar 8 low ahead of 99.20, the Feb 28 low and a key support. Initial resistance is seen at 101.40, today’s intraday high.
LIBOR: US FIX - 25/04/23
Apr-25 10:58
- O/N 4.80071 -0.007
- 1M 5.01771 0.00157
- 3M 5.29157 0.02343
- 6M 5.40586 -0.02814
- 12M 5.37300 -0.05471
