EUROPEAN FIXED INCOME UPDATE: yet another false dawn for debt futures

Analysis details (11:03)

The writing may have been on the wall well before ECB’s de Guindos shifted from the dovish side of the GC divide, but his data-dependent acknowledgement that a hike could come at the start of Q3 seems to have confirmed that Wednesday was the latest minor upside correction for bonds rather than any game-changer. Hence, Bunds are struggling to keep tabs on 154.00 in keeping with Gilts and the 10 year T-note on 118.00 and 119-00 handles respectively, while French OATs appear to be holding up better after solid auctions on balance and current PM Macron’s strong performance in the TV debate before 2nd round/run-off votes are cast on Sunday, in contrast to Spanish Bonos following somewhat tepid sale results. Ahead, a pretty busy pm docket rounds off with appearances from Fed chair Powell, ECB President Lagarde and BoE Governor Bailey at the IMF/World Bank bash.    

21 Apr 2022 - 11:02- Fixed IncomeResearch Sheet- Source: Newsquawk