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German Bunds the alternative safe haven
German Bunds the alternative safe haven
About this update from Technogym S.p.a
GERMAN BUNDS THE ULTIMATE SAFE HAVEN The 10-year German Bund yield on Wednesday is notable for what it's not doing. The 10-year Treasury yield is up around 20 basis points, as of 1200 GMT, the equivalent British gilt yield is up 13 bps, but the Bund yield down around 2 bps. TVC:US10Y, (GB10YT=RR), (DE10YT=RR) There's clearly a lot going on, but one explanation offered by HSBC in a note released on Wednesday, is that Bunds are "a good alternative safety play to U.S. Treasuries." Even though there's plenty more spending, and borrowing, to come from Germany and the rest of Europe, HSBC say they're bullish on Bunds, because they think their "safe-haven status outweighs concerns over fiscal loosening". (Alun John) ***** FOR EARLIER LIVE MARKETS POSTS: LOOKING FOR TARIFF BUSTERS? CLICK HEREDOLLAR, TREASURIES AND S&P 500 - SOME NUMBERS CLICK HERELESS PANICKED THAN EARLIER, BUT THAT'S A LOW BAR CLICK HEREEUROPE BEFORE THE BELL: SHARE SELLOFF RESUMES, TREASURIES IN FOCUS CLICK HEREMORNING BID: MARKETS COWER AS 104% TARIFFS ON CHINA BEGIN CLICK HERE