EUROPEAN FIXED INCOME UPDATE: bond bulls back in the box seat

Analysis details (11:05)

In contrast to Monday when debt and equities were back to traditional inverse asset correlation ways, the latest bounce in bonds has come without pronounced weakness in stocks. Hence, it could be a case of further short covering and corrective price action following extended declines in futures and advances in yields, with some additional incentive emanating from the less inflationary price of oil. Bunds pulled up just 4 ticks shy of yesterday’s 155.26 session high, Gilts got to 119.33 before fading and the 10 year T-note reached 119-28 for gains of 33 ticks, 13 ticks and 9/32+ on the day vs losses of 71, 43 and 12/32 respectively. The US Treasury curve is also marginally flatter into 2 years supply that comes after durable goods, consumer confidence and new home sales.  

26 Apr 2022 - 11:05- Fixed IncomeResearch Sheet- Source: Newsquawk