EM LATAM CREDIT: Colombia's Ecopetrol Expanding Renewable Energy Portfolio

• +8,000 TYM5 111-05, buy through 111-04 post time offer at 1016:29ET, DV01 $512,000. The 10Y Contract trades 111-07 last (+1.5) nearing overnight high of 111-07.5

• Treasury futures are climbing off morning lows in the minutes after Pres Trump's latest tweet berating Fed Chairman Powell and reiterating a call for "preemptive cuts".
• Curves maintain steeper profile as short end surges: 2s10s currently at 61.646 +9.400 vs. 62.245 high, 5s30s +8.231 at 94.038. Jun'25 10Y futures -3.5 at 111-02 vs. late overnight high of 111-07.5. Technical resistance above at 111-17.5 (Apr 16 high).
• In turn, projected rate hike pricing gain momentum vs. morning levels (*) as follows: May'25 at -3.4bp, Jun'25 at -20.3bp (-19bp), Jul'25 at -43.1bp (-40.1bp), Sep'25 -62.9bp (-59.9bp).
• Stocks reacting negatively, extending lows with SPX eminis slipping to 5207.5 low, Consume Discretionary and IT sectors underperforming.

S&P futures dip to session lows with Treasuries ticking up following President Trump's latest Truth Social missive on Fed rate policy. Trump says that "preemptive" rate cuts are being "called for by many", and labels Fed Chair Powell "Mr. Too Late, a major loser". Notably, he also warns of a "SLOWING of the economy" if the Fed doesn't cut rates "now", and appears to accuse the rate cuts last year as being politically motivated.

• In other words, the White House doesn't appear to be backing down from its criticism of the Fed, which is weighing on investor perceptions of US monetary policy independence - we covered last week's developments on this front in our US Macro publication out Friday (PDF).
• @realDonaldTrump:“Preemptive Cuts” in Interest Rates are being called for by many. With Energy Costs way down, food prices (including Biden’s egg disaster!) substantially lower, and most other “things” trending down, there is virtually No Inflation. With these costs trending so nicely downward, just what I predicted they would do, there can almost be no inflation, but there can be a SLOWING of the economy unless Mr. Too Late, a major loser, lowers interest rates, NOW. Europe has already “lowered” seven times. Powell has always been “To Late,” except when it came to the Election period when he lowered in order to help Sleepy Joe Biden, later Kamala, get elected. How did that work out?"