EUROPEAN FIXED INCOME UPDATE: bonds trying to find a base

Analysis details (11:09)

Not much respite for UK debt even though long end DMO supply was relatively well received as Gilts remain well below par and closer to their 123.66 Liffe low than early peak alongside Bunds that bore the brunt of talk about massive joint issuance to foot EU energy and defence bills. Indeed, while the core Eurozone bond has only pared a proportion of its heavy losses (178 ticks at the 165.14 Eurex nadir), Italian BTPs have clawed their back to midway between 145.06-143.82 extremes to stand a tad above water. However, US Treasuries are still deep in negative territory and the curve steeper irrespective of a decline in NFIB business optimism awaiting the first leg of this week’s note auctions (Usd 48 bn 3 year offering).

08 Mar 2022 - 11:09- Fixed IncomeResearch Sheet- Source: newsquawk