LONDON, Feb 15 (Reuters) - German Bund futures opened higher on Friday as a rise in U.S. Treasuries overnight fed a rally fueled by poor euro zone growth data in the previous session.
Currencies will feature high on the agenda of a Group of 20 nations meeting and hosts Russia say the G20 will back the thrust of a G7 text which reaffirmed a commitment to floating exchange rates. But analysts expect little impact from the meeting on the bond market.
In the absence of major data in Europe this session, technical analysis could dominate trade. Investors will also look to industrial output numbers in the United States for insight into the health of the world’s largest economy.
“It is a bit of technical trading,” Rainer Guntermann, strategist at Commerzbank said. “Bunds we think could continue to trade supported going into the weekend. The overnight momentum should also be supportive, Treasuries have been trending higher a bit.”
Bund futures rose 21 ticks to 142.80, having rallied half a point on Thursday after official numbers showed the euro zone fell deeper into recession than expected in the fourth quarter of 2012.
U.S. bond prices also drew strength in Asian trade from a strong result at a 30-year bond auction.