EUROPEAN FIXED INCOME UPDATE: bonds continue to tumble

No sign of the downward pressure in debt abating anytime soon, irrespective of the latest leg down in oil prices that should alleviate some of the inflation-related selling at the very least. Instead, futures are succumbing to even more pronounced and heavier selling as technical impulses become more compelling, with Bunds down to 161.46, Gilts at 121.51 and the 10 year T-note through nearest supports for a near full point fall from overnight highs to 125-05. Naturally, yields have climbed further to touch or even breach psychological levels.