EM LATAM CREDIT: Cosan: 2Q 2025 Earnings - Negative

Underlying futures remain firmer post June PPI, projected rate cut pricing gain slightly vs pre-data (*) levels: Jul'25 at -0.6bp, Sep'25 at -14.4bp (-14.2bp), Oct'25 at -27.6bp (-27.1bp), Dec'25 at -45.0bp (-43.7bp).

• +50,000 2QH6 98.00/98.25 call spds .87 (adds to +50k on Monday for 1.0)
• +6,000 SFRZ5 95.87/96.06/96.18/96.31 put condors, 0.0 vs. 96.6/0.10%
• Block/pit, -10,000 SFRZ5 96.25/96.50/96.75/97.00 call condors, 3.75

Ex-BOE MPC member Michael Saunders on the Bank's sensitivity to interest rate risk and long-dated gilt sales-- On MNI Policy MainWire now, for more details please contact sales@marketnews.com

Bloomberg News reports that the European Commission is set to propose a new Multiannual Financial Framework (MFF) for the period 2028-2034, amounting to EUR1.98 trillion, a major increase on the EUR1.2 trillion allocated for the last MFF period running 2021-27. Today's announcement marks only the start of a multi-year process of negotiation between the Commission, Parliament and member states ahead of the final agreement, which requires unanimity. 

• Bloomberg News: "Included in the draft plan is a €589.6 billion competitiveness, prosperity and security fund, of which €450.5 billion is earmarked for an EU competitiveness fund...Farming, which has long been one of the cornerstones of the EU budget, once again will get a big chunk of funding with €293.7 billion proposed for the bloc’s common agricultural policy,"
• The formal announcement of the initial proposals has been delayed amid tense negotiations overnight within the Commission. Euractiv reports that Budget Commissioner Piotr Serafin, "was supposed to brief MEPs on the package at 12:30 pm. His appearance has been delayed to 2 pm, but this slot has – as of now – been cancelled..."
• Euractiv also reports on the latest tentative schedule from the Commission on timings of announcements from 16:30CET (10:30ET, 15:30BST) onwards: "Von der Leyen will hold a presser with Budget Commissioner Serafin on the overall proposal. Executive Vice-President Sejourne on MFF decisions related to competitiveness and defence right after. Followed by Executive Vice-Presidents Minzatu and Fitto and Agriculture Commissioner Hansen on issues related to agriculture, cohesion policy and employment." Will be streamed here.