• Italian BTP futures outperforms, and the 10yr Yield extends through further lows in Yield.
• The next big target is at 3.922%, the June low and lowest print since 3rd February.

Today reference 116.74:

• 3.922% = 117.10.

The move in BTP future brings the BTP/Bund spread tighter down to 172.4bps, with most investors eyeing the 170.00bps target.

Chart source: MNI/Bloomberg.