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### POV, MAKING A SPLASH IN......>

US EURODLR OPTIONS
US EURODLR OPTIONS: ### POV, MAKING A SPLASH IN CONDITIONAL CURVES
* Paper bought 20,000 Green June'21 97.50/97.75 call spds over the Gold June'23
97.50/97.75 call spds, paying 2.0 for the conditional bull curve steepener early
Monday.
* Interesting structure for several reasons:  selling Gold pack structures (sort
of a position black hole in more than one way...illiquid, poor vega performance)
is a a decent sale to help fund buying Green call spd if you think Fed will
pause or potentially cut rates with Greens adjusting higher.
* Also note, the Gold pack call spread is an opener -- no open interest yet.
* Gold expiry options are now in the 'post-libor' part of the curve and may no
longer be the benchmark at that time. Expect to see more of such structures
trade in the near- to mid-term as long as hawkish Fed tone for 2019 continues to
moderate (traders/dealers seeing one hike next year vs. 3-4 only a couple weeks
ago).

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