Trial now
CROSS ASSET

Commodity-Tied Dollar Bloc Leads

JGBS

Cheaper On Wider Impetus

AUSSIE BONDS

YM Off Lows, Trouble Staying Offered In Wake Of GDP

FED

VIEW: BNP Paribas: Faster Tapering

US EURODLR FUTURES

Some Light Selling Seen

Sign up now for free access to this content.

Please enter your details below and select your areas of interest.

The second day of the European Council summit in Brussels is underway, after it seems little progress was made on the main topics of discussion on day one: energy prices/security, and the rule of law.

  • The conclusions of the first day's discussions can be found here. At the behest of the Czech gov't, the Council agreed to investigate the EU's Emissions Trading Scheme as a potential factor behind high energy prices. The Council agreed to call on the Commission to "...study the functioning of the gas and electricity markets, as well as the EU ETS market [...]Subsequently, the Commission will assess whether certain trading behaviours require further regulatory action"
  • The discussions on rule of law in Poland lasted longer than had been hoped by EUCO Pres Charles Michel and others seeking to avoid conflict on the issue, but it seems that the discussions were relatively calm in nature. Crucially, there was no formal indication from the Council to the Commission to begin Art.7 infringement proceedings against Poland.
  • Today leaders are due to discuss migration and digital transition. The former risks more of a political backlash. Member states have stark disagreements on how to deal with migrant crisis on bloc's eastern border with Belarus, where the Lukashenko regime is facilitating mass migration from the Middle East, Asia and Africa to the borders of Poland and Lithuania.