OIL: Iraq Raises Crude Prices to Asia for February
Iraq has followed other Middle East producers in raising OSPs for Asian buyers for February, according to Bloomberg.
- The Basrah Medium OSP to Asia is up to a premium of $0.05/bbl for February from a $0.6/bbl discount to the Oman/Dubai average for January.
- The Basrah Heavy OSP to Asia rose to a discount of $3.2/bbl from a $3.7/bbl discount to the Oman/Dubai average for January.
Want to read more?
Find more articles and bullets on these widgets:
Historical bullets
FOREX: FX OPTION EXPIRY - Large expiry in the EUR
Some decent expiries for the EURUSD, but Next Monday really stands out, we'll see if the position increases or decreases until then.
Of Note:
EURUSD 5.08bn between 1.0500/1.0600.
USDJPY ~1bn at 151.90/152.00.
EURUSD 4.39bn between 1.0550/50/1.0600 (thu).
USDCAD 1.04bn at 1.4100 and 1.21bn at 1.4230 (thu).
AUDUSD 1.09bn at 0.6450 (thu).
EURUSD 1.64bn at 1.0550 and 2.93bn at 1.0600 (fri).
EURUSD 6.25bn at 1.0600 (mon).
- EURUSD: 1.0500 (1.35bn), 1.0515 (510mln), 1.0525 (442mln), 1.0530 (447mln), 1.0550 (640mln), 1.570 (220mln), 1.0600 (1.47bn).
- GBPUSD: 1.2780 (435mln).
- USDJPY: 151.90 (667mln), 152.00 (368mln).
- AUDUSD: 0.6500 (1.14bn).
- USDCNY: 7.2310 (600mln), 7.2400 (627mln).
EGBS: Marginal Outperformance For OATs, Most A Little Wider Vs. Bunds
{EU} EGBS. Spreads to Bunds a little wider in the main, after core global FI markets slipped and spreads adjusted to yesterday’s late downtick in equity indices
- Peripherals 0.5-1.5bp wider on the day, with BTPs widening the most.
- BTP/Bunds last 109bp, with 100bp presenting the obvious downside target. Spread is ~60bp tighter than the January closing high and ~50bp tighter since late June.
- OATs the marginal outperformer, spread to Bunds 0.5bp tighter at 74.5bp. Most desks remain cautious when it comes to recommending fresh OAT cross-market longs, given continued political uncertainty in France.
- President Macron is set to meet with political party leaders later today, as he looks to form another government. RN leader Le Pen has not been invited.
- On the fiscal front, Le Parisien noted that “the "special law", which should ensure the functioning of the State to continue to collect taxes and finance public services, will be presented tomorrow at the Council of Ministers. Since the resigning ministers are invited, we can deduce that the new Prime Minister will not be appointed before then.”
NOK: Post Data NOKSEK Rally Extends
Although NOKSEK saw a contained initial reaction to this morning’s Norwegian CPI and Swedish activity data, the cross has continued to rally through the morning, now +0.4% today at ~0.9850.
- The cross will need to consolidate above the 20-day EMA at 0.9858 to signal scope for a renewed push towards parity. Meanwhile, the prior breakout level at 0.9760 (Oct 7 high) remains the key support.
- The reaction in NOKSEK has been mostly NOK-driven, with the firmer-than-expected inflation print dampening expectations for a surprise rate cut in December. However, the Q4 Regional Network Survey on Thursday remains a key focus.
- Taken alongside the dovish shift in the RBA’s policy statement overnight, AUDNOK is down 0.9% and has tested trendline support drawn from the 2022 low. A clear breach of this trendline with expose the medium-term pivot level around 7.0000.
