Flow, Oil are Key Drivers for Eurozone Bond Yields Before Friday's PMI Data

Dow Jones
08/17

0728 GMT - Eurozone government bond yields are likely to react most to flow, oil and bond supply than they are to European Central Bank rate pricing until Friday's release of flash purchasing managers indices, Mizuho says in a note. The PMI data will provide "the next proper macro check," it says. Pricing at the shorter end of the yield curve should stay relatively stable, but the longer end still looks vulnerable if global yield curves keep steepening, Mizuho says.

 

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