EM LATAM CREDIT: Braskem: Hires Advisors - Negative

SEB’s model suggests that month-end rebalancing needs for the typical Swedish portfolio manager are SEK neutral.

• In the FI space, Bund futures continue to trade above their recent lows. A bear threat remains present. The contract recently breached 128.84, the Jul 25 low and a bear trigger. Note that the 129.00 handle represents the base of a broad range. A clear range breakout would strengthen a bearish theme. This would open 128.40 initially, the Apr 9 low. Strength above the 50-day EMA of 129.78, is required to signal a reversal.
• A bear cycle in Gilt futures remains in play and yesterday’s fresh cycle low reinforces current conditions. Note that on the continuation chart, moving average studies are in a bear-mode position, highlighting a clear downtrend - for now. First support to watch is 90.25 (pierced), the Aug 26 low. A clear break of it would resume the bear leg and open the 90.00 handle. Initial resistance is at 91.24, the Aug 18 high.

Latest Tsy quarterly futures roll volumes from September'25 to December'25 below. Percentage complete currently 80%-90% ahead "First Notice" date this Friday, August 29. Current roll details:

• TUU5/TUZ5 appr 97,100 from -9.25 to -9.12, -9.12 last; 90% complete
• FVU5/FVZ5 appr 229,500 from -5.75 to -5.5, -5.5 last; 83% complete
• TYU5/TYZ5 appr 144,400 from -1.25 to -0.75, -1.0 last; 83% complete
• UXYU5/UXYZ5 app 100,300 from +0.0 to +0.5, 0.25 last; 82% complete
• USU5/USZ5 appr 28,000 from 12.25 to 13.0, 12.75 last; 81% complete
• WNU5/WNZ5 appr 34,100 from 7.75 to 8.0, 7.75 last; 83% complete
• Reminder, Sep futures don't expire until next month: 10s, 30s and Ultras on September 22, 2s and 5s on September 30.