IRAN: Fars: Iranian Navy Attacked US Command And Control Center

SOFR & Treasury options trade outlined below: Put focus as underlying futures reversed early overnight support, trade broadly weaker on robust volumes (TYM6 over 1.5M) given Japan out for national holiday, much of Europe too for spring holiday. Projected rate pricing inches hawkish vs. late Friday lvls (*): Jun'26 at -0.7bp (-1.9bp), Jul'26 at -1.6bp (-2.9bp), Sep'26 at -0.5bp (-2.9bp), Oct'26 at +3.4bp (-3.4bp), Dec'26 +8.1bp (-1.3bp). April 2027 rises to near +20bp late Monday.

• SOFR Options:
  • +10,000 SFRH7 95.87 puts 1.0-1.5 over SFRM7 96.50 calls
  • +25,000 SFRZ6 96.12/96.37 put spds, 11.75
  • 5,000 SFRZ6 95.50 puts, 9.0
  • Block, 5,000 SFRM6 96.43/96.56 call spds, 0.5 ref 96.34
  • 8,000 SFRZ6 95.93/96.06/96.18 put flys
  • Block, 10,000 SFRM7 97.00/98.00 call spds 10.0
  • Block, +2,500 SFRZ6 96.18/96.31/96.37/96.50 put condors, 4.75 net ref 96.265
  • 5,000 SFRU6 96.50 calls
  • 1,650 SFRU6 96.31/96.37/96.43 call trees
  • 2,500 SFRZ6 95.87/96.12 put spds ref 96.265 to -.27
  • 2,000 0QK6 96.00/96.12/96.25 put flys, 2.5 ref 96.225/0.05%
  • +1,500 0QM6 95.37/95.75/96.12 put flys, 5 ref 96.24
• Treasury Options:
  • 3,600 FVM6 107.25 puts, 17 ref 107-17
  • 5,000 USM6 109/111 puts, 16 ref 112-11
  • -2,000 FVM6 108 puts, 35 ref 107-21.25
  • 1,500 TUN6 105.75 calls, ref 103-15.75
  • +2,500 TYM6 112/113 1x2 call spds, 3 ref 110-13
  • -1,500 TYN6 110 puts, 56 ref 110-05.5/0.48%
  • -4,300 TYN6 108.5 puts, 28 ref 110-06
  • -3,200 Wed wkly TY 110.25 puts, 10 ref 110-12.5
  • +5,000 TYM6 111.75 calls, 7 ref 110-13
  • +4,000 TYM6 109 puts, 9 ref 110-13
  • over +7,000 TYN6 109.5 puts, 41 ref 110-05.5 (small sales 43)
  • 7,000 wk2/wk3 TY 110 put spds, 8 vs. 110-13.5/0.06%
  • +5,000 wk2 TY 110/110.5 put spds, 8 vs. 110-24.5/0.21$
  • +3,600 wk2 TY 111.25 calls, 8 ref 110-25 (exp 05/08)

• The Fed Board of Governors just released the April 2026 Senior Loan Officer Opinion Survey on Bank Lending Practices (SLOOS), Link: https://www.federalreserve.gov/data/sloos/sloos-202604.htm
  • Latest SLOOS addressed "changes in the standards and terms on, and demand for, bank loans to businesses and households over the past three months, which generally correspond to the first quarter of 2026."
  • "Regarding loans to businesses over the first quarter, survey respondents reported, on balance, tighter lending standards and basically unchanged demand for commercial and industrial (C&I) loans to firms of all sizes. Furthermore, banks reported basically unchanged lending standards and weaker or basically unchanged demand for commercial real estate (CRE) loans"
  • Note: "A second set of special questions asked banks about changes in lending standards and demand over the past year for NDFI loans.12 These questions are new in the April 2026 SLOOS. Banks reported, on net, tighter standards for all categories of NDFI loans over the past year. Specifically, significant net shares of banks reported tighter standards for NDFI loans to business credit intermediaries, consumer credit intermediaries, and other NDFI loans, and moderate net shares reported tighter standards for mortgage credit intermediaries and private equity funds."

• Treasury’s update on financing requirements for the current (Apr-Jun) and next (Jul-Sep) quarters will be released in 30 minutes at 1500ET.
• It is expected to largely maintain its borrowing projections for the current quarter.
• More attention will be on the full Refunding announcement on Wednesday (0830ET), in which any adjustments to the policy statement’s guidance on future auction size increases will be closely-watched as usual.
• MNI Refunding Preview: https://media.marketnews.com/MNI_US_Deep_Dive_Issuance_2026_04_b3024c8748.pdf