HYBRIDS: Orange Hybrid FV (B’mark PerpNC7; Baa3/BBB-/BBB-)

Of note:

EURUSD 1.39bn at 1.1140/1.1150.

EURUSD 2.25bn at 1.1100 (thu).

AUDUSD 1.2bn at 0.6475 (thu).

NZDUSD 1.03bn at 0.5880 (thu).

EURUSD 2.41bn at 1.1200 (fri).

USDCAD 2.3bn at 1.3975/1.4000 (fri).

• EURUSD: 1.1140 (840mln), 1.1150 (550mln).
• GBPUSD: 1.3200 (730mln).
• EURGBP: 0.8405 (435mln).

Some idiosyncratic SEK strength noted over the past ~45 minutes, with EURSEK extending to fresh session lows at typing - no obvious headline trigger noted. This week’s Swedish calendar is heaviest tomorrow, with the final April CPIF report due at 0700BST/0800CET (following the lower-than-expected flash print) and the Riksbank May meeting minutes at 0830BST (following the slight dovish guidance tilt in last week's policy statement).

• EURSEK is down 0.4% on the session at 10.8480. Initial support is the May 7 low at 10.8375, clearance of which would expose clustered support around 10.8000 (76.4% retrace of the April 3 – Apr 11 rally at 10.8005; April 4 low at 10.7941).
• Initial resistance is the 20-day EMA at 10.9442, which has contained upside in the cross the prior six sessions.
• NOKSEK is down 0.3% on the session, but support at the 20-day EMA (0.9311) and the trendline drawn from the April 9 low (0.9283 today) remains untested. Shallower pullbacks will be considered corrective.

German ASWs vs. 3-month Euribor are +0.5bp to -0.5bp.

• The front end of the curve outperforms, despite the impending Schatz auction, probably owing to a steadier risk backdrop after Monday’s equity rally.
• Weakness in the long end of the outright German bond curve/curve steepening seems to play into moves further out the ASW term structure, the presence of long end supply out from the EU and Netherlands may be a factor here.