German government bond yields were seen higher on the week, with a noticeable curve-steepening bias, driven by higher-than-expected EZ inflation data. 10-year yields themselves increased a full +8 bps to -.40%, led by rising inflation expectations, as evidenced by inflation-linker market pricing. Upside technical support is now being tested, with follow-up support seen near -.30%,…
Over 60% of fixed income institutional investors do not have an execution order management system and less than half are looking to implement one by the end of 2021, according to a Barclays Global Fixed Income Markets Structure Survey. Source: Best Execution Equally as important, the survey which canvassed central banks, asset managers, insurance companies…
German 10-year yields declined -4 bps over the past week to re-test the -.50% level for the second time this month. Meanwhile, 30-year yields are back into negative territory, with the entire German curve now inverted. Slowing growth expectations, Covid 19 delta variant spread concerns, and geopolitical safe haven buying triggered by the crisis in…
The rally in the German bond market in place for much of the past few months ran into a bit of a roadblock in the form of last Friday’s strong US employment data. That said, 10-year Bund yields are seen only about a basis point higher on the week, lagging the move up in Treasury…
German 10-year yields moved modestly deeper into inversion over the past week, falling another -3 basis points to -.47%, the most negative since early February. As in the US, it remains a tale of two markets, as per inflation-linking pricing. Over the past week and month, 10-year real yields are seen down -8 and -30…
Direct streaming of dealer prices could allow traders to bypass third party venues, if their desktop systems can be used to execute direct streams from dealers. Source: fidesk Execution management systems (EMSs) could become a focal point for direct connectivity with dealers on the buy-side desktop. To date they have often struggled to find a place…
Adoption of automated trading continues apace across several bond markets and within different grades of instrument. Gareth Coltman, global head of automation at MarketAxess, gives traders an update on where and how they can tap into more automated bond trading, in order to deliver efficient and opportunistic execution, improved cost savings and improved desk efficiency….
German 10-year yields inched in over the past week to current levels near -.43%, and while +14 basis points higher on a year-to-date basis, are nonetheless down -22 bps over the past 4 weeks. In credit, 10-year investment grade spreads were little changed on the week at +90 bps, holding still longer to the relatively tight…
Analysis of the European and US corporate bond markets by Coalition Greenwich has found that block trades and counterparties are a far greater concern for buy-side traders dealing in Europe’s bond markets. Source: The DESK The report, ‘European Bond Trading Innovation: Lessons from Across the Pond’ looked at the relative evolution of fixed income trading…
German 10-year yields are seen marginally higher on a week-over-week basis at -.30%, holding however near 3-month lows. While pulling back on our overall call for a move back into positive ground before the fall or even year end, we expect increasing downside stickiness at and inside current levels. Upside yield support is however anticipated…
With trading volumes for US corporate bonds up
