EM LATAM CREDIT: Bladex: New Perps Mandate

• RES 4: 113-23   76.4% retracement of the Sep’24 - Jan’25 sell-off
• RES 3: 113-07   76.4% retracement of the Apr 7 - 11 sell-off 
• RES 2: 112-23   High May 1 
• RES 1: 112-15+ High Aug 5
• PRICE:‌‌ 112-03+ @ 18:39 BST Aug 6
• SUP 1: 110-19+/08+ Low Jul 24 / Low Jul 14 & 16        
• SUP 2: 110-03   76.4% retracement of the May 22 - Jul 1 bull leg
• SUP 3: 109-28   Low Jun 6 and 11
• SUP 4: 109.25   Low May 27

Treasury futures remain strong on the back of the post-NFP rally - barring an erratic and quickly reversed intraday slip. Having cleared resistance into the bull trigger at 112-12+, the Jul 1 high, Treasuries have opened the May 1 high for direction at 112-23, a multi-month high. Clearance here opens retracement levels layered between 113-07 and 113-23. On the downside, key support is 110-08+, the Jul 14 and 16 low. First support lies at 110-19+, the Jul 24 low.

RRP usage bounces to $91.966B this afternoon from $84.356B yesterday (lowest levels since April 25), total number of counterparties at 22. Lowest usage of the year at $54.772B on Wednesday, April 16 -- in turn the lowest level since April 2021 - compares to July 1: $460.731B highest usage since December 31.

Call volumes remain strong in the second half, interest in downside put structures have risen as underlying futures remain weaker in Reds-Blues (SFRU6-SFRM9). Projected rate cut pricing gains vs. morning (*) levels: Sep'25 at -23.6bp (-22.6bp), Oct'25 at -39.9bp (-38.4bp), Dec'25 at -60.1bp (-58.3bp), Jan'26 at -71.4bp (-68.9bp).

• Block, 5,000 0QQ5 96.75 puts, 2.5 vs. 96.855/0.20%
• +50,000 0QZ5 98.00/98.37/98.50 broken 1x1x1 call flys, 2.75-30 ref 96.935
• +20,000 SFRZ5 96.25/96.75 1x2 call spds, 7.75-8.0 ref 96.27
• +8,000 SFRZ5 95.93/96.18/96.37/96.50 put condors, 0.75 ref 96.26
• +10,000 SHRH6 96.37 puts, 19.5 ref 96.48/0.42%
• +10,000 SFRQ5 95.81/95.87 put spds, 1.0 ref 95.94