EUROPEAN FIXED INCOME UPDATE: bonds regroup after a more pronounced setback

Analysis details (10:42)

Debt futures have recovered well from further bouts of selling that pushed Bunds down to a minor new low at 131.22 and Gilts under 100.00 to 99.85 that could have been compelling from a psychological standpoint. However, the 10 year UK benchmark is now extending to the upside and closer to 100.50, at 100.41, while the T-note is hovering towards the top of its 111-13+/01+ overnight range awaiting US factory orders and seemingly building a more solid base in the interim. Tech-wise, Bunds still face resistance at 131.86 (Fib retracement) and the T-note at 111-16+, while Gilts are likely to encounter support into 3.75% from a yield perspective.

06 Mar 2023 - 10:42- Research Sheet- Source: Newsquawk