PORTUGAL AUCTION RESULTS: Buyback Results

• "The EU has mandated Goldman Sachs Bank Europe SE, HSBC, J.P. Morgan, Natixis and UBS as Joint Lead Managers for its upcoming Fixed Rate RegS Bearer increase of the EU 2.500% benchmark due 14 October 2030 (EU000A4EG021). No further group. The transaction will be launched tomorrow, subject to market conditions."
• Probably a smaller syndication than some had expected. Just a single line and only 5-year maturity (but we are coming to the end of the year).

Reuters reporting comments from an Indian trade official stating India and the US “could soon agree to address reciprocal tariffs” in the first part of an emerging trade agreement, with the two countries, “likely to address broader trade issues in the second part of the agreement.” The official added that “officials engaged in virtual negotiations to address the concerns of each other.”

• The comments are likely to add to recent optimism that a trade deal is in reach, bolstered by the confirmation of Trump insider Sergio Gor as US Ambassador to India. An expert told CNBC that Gor’s appointment ″suggests a desire to reach a trade deal sooner rather than later."
• Last week, President Donald Trump suggested he could lower tariffs in response to India reducing Russian oil imports, despite reports that imports are largely unchanged. Trump said, “They have now substantially reduced Russian oil [imports], so we will be bringing the tariffs down.”
• The prospect of a trade deal is also likely to be boosted by Indian Prime Minister Narendra Modi’s ruling Bhartiya Janta Party's (BJP) strong victory in Bihar state elections, providing Modi leverage to offer agricultural concessions.
• A slate of recent trade deals also suggests the White House is accelerating trade negotiations to address concerns over prices. In the past week, the White House has announced new deals with Switzerland, Argentina, Guatemala, El Salvador, and Ecuador; formalised the terms of a trade framework with South Korea; and modified the terms of the EU trade deal to exclude certain agricultural products and other products that can't be produced in the US.