With the Greek bailout approved and the 2nd and final 3 year LTRO out the way, we started to see some volume coming back into the short end especially. Although trading was difficult as the short end spreads where going upwards with no real pull back. I tended to short every 3 month spread in the Euribor and Short sterling contracts, and over the course of yesterday and today kept averaging till I ended small up, doing 400 odd round trips over the two days, which didn't really help the cause. Despite not being able to hold on to all of the spreads I do still think we will come back off as there is no real reason for it to continue going higher.
The Bund tested 140s 3 times, and all three times ended up being good sells, with going long the shatz Bund spread when the Bund is in the 40s being the slightly safer option. I mis timed the first one and the second time was a great bounce of a level a couple of months back which I didn't get into sadly.
Hoping for some real action now going forward.
For further info on this spread watch below:
Subscribe to:
Post Comments (Atom)
Front month WTI Futures plunges to negative $37 as storage costs rocket
It was a move of epic proportions in the front month WTI Crude futures, the significance of which is not really known of yet, but was incre...
-
Much has been said about the new phone and the response on the surface seems exactly how you would expect it to be. Regardless of what Appl...
-
In the previous ECB meeting we had a split decision on whether to cut rates further or not but today Mario Draghi said the council decided ...
-
With the raft of poor data out this morning, we got some strong selling pressure in all parts of the curve. The 2s-10s spread hit an all tim...
No comments:
Post a Comment