In the euro area financial and bond markets

German 2-year bond yields have fallen, with the largest decline since January 2005

.. Eurozone Purchasing Managers Index (PMI) breaking news in July

Eurozone rate hike observations receded as the milestone fell below 50

    In the euro area PM, the manufacturing industry has shrunk further, and the service industry is almost complete.

It was stagnant.

    German 2-year bond yields temporarily dropped to 0.355%. After that

Although the amount of decrease was reduced, it decreased by about 26 basis points (bp) to 0.

It remained at 399%.

    According to Refinitiv, the European Central Bank (ECB) is in the financial markets

The view that a total of a 105bp rate hike will be implemented by December is incorporated.

rice field. Before the announcement of the Eurozone PMI, it was about 120 bp. Also in the market

The probability of a 50bp rate hike in September is 80%. 21st is completely woven

It was crowded.

    Michael Bra, Chief of Market Intelligence at Caxton

"I'm not surprised at the swelling of bond buying," he said.

    Villi, Global Macro Strategist at Vanda Research

.. The ECB tightens at the beginning of the year and in the first half of 23, given the economic situation in Europe

I don't think I can move because of that. "    

    On the 21st, the ECB raised interest rates for the first time in 11 years since 2011. market

“For stabilization, rising interest rates in Southern Europe, which has a large amount of debt,

New bond purchase measures and transmission protection measures (TPI) to correct "regional disparities"

= Transmission Protection Instrument) ”was announced. [nL4N2Z23IQ

]    

    Index German 10-year bond yield is 1% for the first time since May 30

It broke below. In the final stage, it decreased by 19bp.

    Italy's 10-year bond yields have also fallen, and the German-Italy 10-year bond yield gap DE1

0IT10 = RR was 238 bp, which was reduced from 240 bp on the 21st.

     The ECB will meet in Italy's bond market on the 21st, according to people familiar with the matter.

Expected to apply TPI to Italian government bonds without discussing market turmoil

It is said that it is not covered.

                                             

 12:04 EST                                           

 7 minutes                                          

 * Futures settlement price Compared to the previous day Business day code

                                        Late stage  

 3 months Euro 99.56 +0.07 99.49         

 German Federal Bond 2-Year 109.82 +0.46 109.36          

 German Federal Bonds 5 Years 126.53 + 1.37 125.16          

 German Federal Bond 10 Years 154.46 +2.28 152.18          

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 German Federal Bonds 30 Years 176.64 + 3.28 173.36          

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 * In-kind yield Current price Compared to the previous day Business day code

                                        Late stage  

 German Federal Bond 2-Year 0.413 -0.217 0.642            

 German Federal Bond 5-Year 0.767 -0.239 0.904            

 German Federal Bond 10 Years 1.023 -0.167 1.144             

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 German Federal Bonds 30 Years 1.279 -0.086 1.375             

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