8 Jul 2013
Flash: 10-year US treasuries stage rebound – RBS
FXstreet.com (New York) - Treasuries have staged a modest rebound after Friday's post payrolls shellacking, notes the RBS research team.
Bunds have outperformed another 1bp today on earlier stories that Draghi of the ECB were in favor of cutting rates last week (idea shot down by ~7 other board members). Oil is at 14-month highs and semi-core and peripheral EU debt spreads are marginally tighter. Production and trade date out of Germany were weaker but a business survey in France improved. “Activity in Europe's hours was pretty light with no notable flows. Our overnight inter-dealer Treasury volume was just 75% of the 10-day average through this morning.” the team notes.
Bunds have outperformed another 1bp today on earlier stories that Draghi of the ECB were in favor of cutting rates last week (idea shot down by ~7 other board members). Oil is at 14-month highs and semi-core and peripheral EU debt spreads are marginally tighter. Production and trade date out of Germany were weaker but a business survey in France improved. “Activity in Europe's hours was pretty light with no notable flows. Our overnight inter-dealer Treasury volume was just 75% of the 10-day average through this morning.” the team notes.