Marketmind: Ten-four, Treasury yields soar
A look at the day ahead in U.S. and global markets from Mike Dolan
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A look at the day ahead in U.S. and global markets from Mike Dolan
The spread between Italian 10-year bonds and those of Germany continued contracting on Thursday and has narrowed over 15 bps this week to its narrowest in a month at 179 bps, thanks to the outperformance of Italian debt, even in the face of chunky new supply. On Thursday, Italian 10-year yields dropped below 4%, the level that starts to raise debt sustainability concerns for investors, for the first time since Dec. 15.
European LNG imports are expected to be up 16% versus last winter, as new projects in the US and Mozambique start up.
The index is enjoying another bullish session and week, yet it needs a catalyst to clear the key 14000 level.
Germany's 10-year yield, the benchmark for the euro area, was up 14 basis points on the day to 1.29% by 1504 GMT, set for the biggest daily rise since March 2020.