ESM ISSUANCE: Apr-30 Digitally Native Bond: Mandate

SFIZ6 95.95/96.00/96.05c fly, bought for 0.25 in 4k.

• USD: Despite the latest extension higher for the major equity benchmarks, the dollar has been trading on a firmer footing over the past hour, bring the USD index back into positive territory on Monday and pushing back towards session highs.
• The disconnect to risk potentially highlights a lack of meaningful conviction in the FX space today, and leaves the most recent enthusiasm towards the greenback as the dominant theme following last week’s hawkish Fed meeting.
• This translates to the DXY operating just above 100.35, having confirmed a notable technical breakout above both trendline resistance and the pivotal 50-day EMA last week (shown below).
• JPY: USDJPY is the top performer as we continue to erode the sharp downswing from last Friday’s potential “rate check” driven move in late trade. Post-BOJ highs reside at 158.05, while key focus is on the 50-day EMA, at 158.13.
• AUD: Separately, AUDUSD has held a very narrow 0.7111-40 range today as the market awaits comments from RBA Governor Bullock on Tuesday. She is due to participate in a fireside chat about inflation, interest rates, and Australia’s economic outlook at an event hosted by the Committee for Economic Development of Australia, in Sydney.

@BarakRavid
President Trump over the weekend considered ordering a strike against the Houthis in Yemen before deciding to hold off for now, two U.S. officials confirmed.