POWER: Germany’s Small-Scale Solar Tender Undersubscribed

The Senate Finance Committee is expected to release some, or all, of the legislative text of its portion of the ‘One Big Beautiful’ reconciliation bill today, covering the thorniest issues in the package. Committee Chair Mike Crapo (R-ID) will update Senate Republicans on the text at around 17:30 ET 22:30 BST. 

• Observers are watching how the Senate handles SALT, phasing out the IRA tax credits, and work requirements and provider taxes for Medicaid. Any major changes to the House-passed package could set up another confrontation in the House and risk ping-ponging the legislation between the two chambers.
• Senate Majority Leader John Thune (R-SD) indicated to Fox the Senate would lower the SALT cap, but suggested the upper chamber wouldn’t eliminate it entirely.
• Politico notes that Thune insisted Trump’s tax priorities, no taxes on tips and overtime, will be “incorporated” in the Senate’s bill, "despite Senate Republicans’ desire to trim them in favor of making business tax incentives permanent.”
• When the final text is released, the Senate Parliamentarian will begin the so-called ‘Byrd Bath’ to ensure every item is related to budget and spending, rather than policy, conforming with the strict rules of Budget Reconciliation.
• Punchbowl News writes: “…a lot more needs to happen before the [bill] is ready for the Senate floor. Several provisions are expected to have placeholders while negotiations continue. In other words, it’s not just SALT that will be unfinished when the bill is released. So the whip job can’t start quite yet."

• Some very tight price action in G10 FX, Cable has now traded in a 19 pips range for the past 6 hours, a 1.3574/1.3593 low/high range since 07.44BST.
• Even the normally Volatile USDJPY has been trading in a 143.99/144.28 range for the past 4 hours.
• There are still some small movements in the EUR, testing the intraday high against the USD, CNH and GBP.
• The closest Technical level for the EUR is versus the Pound, with the next resistance eyed at 0.8547 High Jun 12, for the EURGBP.