EM LATAM CREDIT: Colombia: Cabinet Reshuffle - Negative
(COLOM; Baa3/BBneg/BB+neg)
"Colombian President Petro Announces a New Cabinet Reshuffle" - Bbg
Its been about five months since President Petro demanded his entire cabinet resign in the wake of a public display of a cabinet meeting that showed his frustration with getting any of his agenda passed.
It seems the frustration continued as he is quoted being disappointed with his team not knowing the government's agenda and to implement it. He reportedly directed the finance minister to overturn a decree that allows private pension funds to invest abroad, according to Bloomberg.
COLOM 8% 2035 were last quoted T+338bp, 26bp tighter since March 31st and 6bp wider YTD.
Want to read more?
Find more articles and bullets on these widgets:
Historical bullets
CROSS ASSET: Crude & Gold Sold, Bonds & Stocks Bid On WSJ Iran Report
Crude oil (loses ~$2.50) and gold offered, Tsys (on inflation readthrough from lower crude) and equities bid, after WSJ sources note that “Iran has been urgently signaling that it seeks an end to hostilities and resumption of talks over its nuclear programs, sending messages to Israel and the U.S. via Arab intermediaries.”
- The piece goes on to note that “in the midst of a ferocious Israeli air campaign, Tehran has told Arab officials they would be open to return to the negotiating table as long as the U.S. doesn't join the attack. They also passed messages to Israel saying it is in the interest of both sides to keep the violence contained”.
- The BBDXY trades to fresh session lows on the news.
EQUITIES: US Program Buyer on the Open
- Program buyer on the Cash Open, 1499 names, the most since 27th May.
- Next Immediate resistance in SPX comes at 6059.40, last Week's high, and also the best printed level since February, the Index is now trading at 6021.42.
USDCAD TECHS: Southbound
- RES 4: 1.4200 Round number resistance
- RES 3: 1.4111 High Apr 4
- RES 2: 1.3861/1.4016 50-day EMA / High May 12 and 13
- RES 1: 1.3732 20-day EMA
- PRICE: 1.3542 @ 14:41 BST Jun 16
- SUP 1: 1.3535 1.0% 10-dma envelope
- SUP 2: 1.3503 1.618 proj of the Feb 3 - 14 - Mar 4 price swing
- SUP 3: 1.3473 Low Oct 2 2024
- SUP 4: 1.3410 1.764 proj of the Feb 3 - 14 - Mar 4 price swing
The trend needle in USDCAD continues to point south and fresh cycle lows last week and again today, reinforce a bearish theme. Support at 1.3686, the May 26 low and a bear trigger, has been cleared, confirming a resumption of the downtrend. This maintains the price sequence of lower lows and lower highs. Sights are on 1.3535 next, envelope-based support, and 1.3503, a Fibonacci projection.Resistance at the 20-day EMA is at 1.3732.
