ITALY AUCTION PREVIEW: On offer next week

Reuters reporting that Ukraine, “aims to hold a meeting of key European allies in December,” according to Ukrainian President Volodymyr Zelenskyy’s spokesperson. The spokesperson noted that the meeting is needed, “to coordinate joint position and ensure Ukraine is strong for talks and on battlefield.”

• The meeting is another signal that ceasefire talks between Ukraine and Russia could take place in the early days of the administration of US President-elect Donald Trump. Trump met with French President Emmanuel Macron and Zelenskyy yesterday – the first Trump-Zelenskyy meeting since the US presidential election. Axios reports: “A source familiar with the meeting said it lasted 45 minutes and was "good and fruitful."”
• Trump said after the meeting, in a wide-ranging post: “There should be an immediate ceasefire [in Ukraine] and negotiations should begin.” In his first network media interview since winning re-election, Trump said he is “actively” working towards a ceasefire but declined to reveal whether he had spoken with Russian President Vladimir Putin.
• Zelenskyy wrote on X: "President Trump is, as always, resolute. I thank him. ... We all want this war to end as soon as possible and in a just way… We spoke about our people, the situation on the ground, and a just peace."
• The prospect of a ceasefire may be bolstered by the rapid capitulation of Bashar al-Assad’s regime in Syria, which appeared to demonstrate that the war in Ukraine has drained Moscow’s resources to such an extent that it couldn’t defend its most important regional partner.

• RES 4: 112-18   50.0% retracement of the Sep 11 - Nov 15 bear leg 
• RES 3: 112-02   Low Oct 14  
• RES 2: 111-24   38.2% retracement of the Sep 11 - Nov 15 bear leg  
• RES 1: 111-20+ High Dec 6 
• PRICE:‌‌ 111-08 @ 16:35 GMT Dec 9
• SUP 1: 110-18   Low Dec 4       
• SUP 2: 110-01/109-20 Low Nov 25 / Low Nov 20/21 
• SUP 3: 109-02+ Low Nov 15 and the bear trigger    
• SUP 4: 108-28   1.236 proj of the Oct 1 - 14 - 16 price swing

A bull cycle in Treasuries remains in play and last week’s gains reinforce current bullish conditions. The contract has traded through the 50-day EMA, at 111-12. A clear break of this average would strengthen a bullish theme and signal scope for a stronger recovery. Sights are on 111-24 next, a Fibonacci retracement. For bears, a reversal lower would highlight the end of the bull cycle and open the key support at 109-02+, the Nov 15 low.

• US TSY 13W BILL AUCTION: HIGH 4.300%(ALLOT 40.76%)
• US TSY 13W BILL AUCTION: DEALERS TAKE 28.78% OF COMPETITIVES
• US TSY 13W BILL AUCTION: DIRECTS TAKE 10.82% OF COMPETITIVES
• US TSY 13W BILL AUCTION: INDIRECTS TAKE 60.40% OF COMPETITIVES
• US TSY 13W BILL AUCTION: BID/CVR 2.89