US-EU: French PM-US Tariffs A 'Catastrophe For Economic World'

• Gold extends decent gains, that's over $25 bucks since Europe has started to Join the session 2 hours ago.
• Silver is now also starting to see some spillover bids, and next immediate resistance in Gold comes at $2920.8/2956.2 - High Feb 27 / 24 and the bull trigger.

The DDA has confirmed that the initial spread guidance for the new 10-year 2.50% Jul-35 DSL (ISIN: NL0015002F72) will be at +25.0 to +28.0bps vs the 2.50% Feb-35 Bund (ISIN: DE000BU2Z049). Books will open at 9:00GMT / 10:00CET.

Gilts rally on feedthrough from the U.S. tariffs on China, Mexico & Canada.

• While the tariffs were clearly defined ahead of time, the lack of a last-minute deal and presence of already intensifying growth worries have generated a bullish market reaction.
• Futures through yesterday’s high, trading as high as 93.50 before backing off to ~93.30.
• The short-term bullish technical setup remains intact in the contract, with initial resistance at the Feb 26 high (93.51) capping the early rally.
• More meaningful resistance seen at the Feb 6 high and bull trigger (93.83).
• Yields 3-4bp lower across the curve.
• SONIA futures back to highs as pre-gilt open spillover pressure from a block sale in U.S. TY futures fades.
• Little of note on the UK data calendar today, with supply set to come in the form of GBP2.25bln of the 4.375% Jul-54 gilt.