OIL PRODUCTS: Fire Extinguished at Valero’s Three Rivers Refinery: Reuters

Jan-02 13:21

A large fire was extinguished at Valero’s 89k b/d Three Rivers refinery in Texas in the evening of Jan. 1, Reuters reported.

  • No injuries were reported and details on how the fire started, and the extent of any damage remains unknown, the report said.

Historical bullets

SONIA: Outright call buyer

Dec-03 13:20

SFIM5 96.50c, bought for 5.5 in 5k.

GERMANY: Merz Does Not Rule Out Prospect Of CDU/Green Coalition-Bild

Dec-03 13:16

Speaking to Bild, chancellor candidate for the centre-right Christian Democratic Union/Christian Social Union (CDU-CSU, known as the 'Union) Friedrich Merz has talked more positively about the environmentalist Greens than in the past. This has raised speculation that a black-green coalition could be possible at the federal level after the early federal election expected on 23 February. 

  • Asked by Bild on similarities with the Greens, Merz said "In foreign and security policy, there is certainly more in common with the Greens than with the SPD." However, "With regard to the Greens' economic policy, we have a completely different opinion; we need a fundamental change of course."
  • As Bloomberg notes, Merz's language on the Greens has softened since "September [when], Merz said that no party “triggers such aversion with our voters and our members as the Greens”.
  • Markus Soeder, minister-president of Bavaria and head of the CSU, said in October that if the two most prominent Green politicians - Economy Minister Robert Habeck and Foreign Minister Annalena Baerbock - resigned then there is the prospect a black-green coaltion.
  • New Greens co-leader Franziska Brantner asked by Bild on what the CDU would do better than the SPD, replied "Peace, freedom in Europe and clearly standing on the side of the Ukrainians."
  • Opinion polling still points towards Merz emerging from the election in pole position to lead the next gov't, with respondents seeing him as their preferred chancellor compared to Habeck or incumbent Social Democrat Olaf Scholz (see chart below). 

Chart 1. Opinion Polling, Preferred Chancellor, % and 4-Poll Moving Average

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Source: INSA, Forsa, Wahlkreisprognose, MNI

STIR: Repo Reference Rates Climbing

Dec-03 13:11
  • Secured Overnight Financing Rate (SOFR): 4.64% (+0.05), volume: $2.440T
  • Broad General Collateral Rate (BGCR): 4.60% (+0.02), volume: $841B
  • Tri-Party General Collateral Rate (TGCR): 4.60% (+0.02), volume: $791B
  • (rate, volume levels reflect prior session)