Thanks for the explanation. I guess that's why I couldn't find "the" cash market, because there are several. Does a cash market exist for these bonds?
in a prev message, I erronously posted that italian and swiss bonds can be delivered against bund contract due to some uncertainty in eurex web site. Today I learned that this is plain wrong. bonds which can be delivered against bund futures are given http://www.eurexchange.com/trading/products/INT/FIX/FGBL_en.html?mode=deliverable_bonds and these are all german bonds.
traded the Euro Bund today and yesterday. It really does not mirror "tick by tick" the 10year. I really like the .01 spread and the per Euro value (converted to $). You really need to be done trading it (if from the US) by 11-11:30am EST as movement really drys up. Anyone else trading it lately?
Just don't even bother attempting to trade the cash unless you are a European dealer with access to Euro MTS. All others pack sand. The stuff that Cantor and Garban have on their system is very low volume and almost always off-the-run stuff last time I checked.
I made 550 euros (with 1 lot) on very third day of my trading job in german bunds. It works miracles when there is a trend. Now a days I am working on 100 ticks target in a day trading.
Thats good going-I am lazy and trade off fundamental releases, with one trade a day, try to keep commisions down low ( as dont like middle men)
@increasenow. Well, 14 months later I've seen your question. Sorry about that. I trade only bunds and live in the US, and pay my tax to the US. Don't live in Germany, and though ive never thought about it, I'm pretty sure I'm paying taxes to the appropriate government.