MNI China Daily Summary: Friday, April 19

MNI BRIEF: China Hog Market More Balanced In Q2 - Ministry

MNI: PBOC Conducts CNY2 Bln Via OMO Fri; Liquidity Unchanged

CHINA PBOC INJECTS CNY2 BILLION VIA 7-DAY REVERSE REPOS FRI

MNI: PBOC Sets Yuan Parity Higher At 7.1046 Fri; -5.03% Y/Y

CHINA SETS YUAN CENTRAL PARITY AT 7.1046 FRI VS 7.1020

INE Business Confidence Data Supports Upward Revisions In Q1 GDP Forecasts

MNI: GERMANY FEB PRODUCER PRICES -2.9% Y/Y

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

MNI: Growth Drag From Net Zero Carbon Goal Can Be Offset-OECD

© 1982-2023 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Post-LIBOR Settle Update: Benchmark Rising

US EURODLR FUTURES

Lead quarterly EDU2 pares gains to +0.010 to 96.6375 after latest 3M LIBOR set' climbs +0.03314 to new 14Y high: 3.04314%, +0.08543 total on wk.

  • Balance of Whites (EDZ2-EDM3) trades +0.020-0.040, Reds through Blues (EDU3-EDM6) trade +0.040-0.010, Golds (EDU6-EDM7) -0.005-0.010.
  • Current inversion pricing: Mar'23/Jun'23 -0.070 (Dec'22/Mar'23 +0.035); calendar spds: EDZ2/EDZ3 at -0.395, EDH3/EDH4 at -0.575. Inversion flattens out in Blues: Mar'26/Jun'26 trading flat.
  • More mixed FI option trade Wednesday appeared to favor upside call and call structure buying, taking advantage of weaker underlying futures to fade the move in the lead-up to Friday morning (1000ET) appearance by Fed Chairman Powell at the Jackson Hole economic summit. Will Powell be hawkish (in the face of softer economic data the last few weeks), will he pivot (due to same data), will he try to thread the needle with some stance in the middle?
  • Wed's trade could be loosely described as favoring the pivot: less hawkish rhetoric from the chairman will likely see FI markets rally, and curves bull steepen in the short term. However, given the amount of time and data yet to come between the summit and the next FOMC announcement on September 21 - it's all more likely just short term squaring rather than a major shift in positioning.
BulletMarketsFixed Income BulletsHomepage
BulletMarketsFixed Income BulletsHomepage

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.