German election over (sort of) and regardless of who the coalition partners are, Merkel is in charge. So I'm guessing the German bond markets are likely to feel rather heavy, equity markets likely to respond positively. U.S. ten year marginly higher than its Friday Eurex close price so it could be an interesting open.
TY
But in the aftermath of the no taper shock I would expect the U.S. tens to be stronger than German for a few days more. Then we'll get the Octatper speculation on the horizon.
TY v Bund
Bund
After Thursdays opening spike we've seen the bunds drifting lower.
€ curve
Flat at the mo, plenty of data out this week. Schatz appears heavy so I'm looking at selling up tics in curve involing 2s. Bobl on the other hand seems the favourite purchase. Bobl/Bund very strong and reluctant to sell that unless on a real spike.
€ teds
Even during the bond up move teds are strong...(Schatz week) whilst bobl teds nicely ranging. Showing how strong Bor is.
Draghi speaking today (I'm sure he is always speaking)
Good luck
L
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