LNG: Petronas & CNOOC Sign LNG Deal                

• Despite the earlier dip lower for equities, the main US benchmarks have steadily made progress back towards session highs, keeping risk sentiment firmer to start the week. While this dynamic has tilted the USD index into negative territory, it’s the under-pressure Japanese yen that remains the focus for G10 currency markets.
• As has been pointed out by SocGen this morning, “any relationship between USD/JPY and relative or absolute rates, of any tenor, appears to have collapsed”. This is likely to keep intra-day price action most closely tied with equity/crypto swings, while the pessimistic domestic backdrop in Japan will likely keep cross/JPY dips shallow for now.
• Two weeks after Prime Minister Takaichi angered Beijing by suggesting Japanese military intervention would be justified in the event of an attempted Chinese invasion of Taiwan, the two sides appear as far apart as ever. Speaking to reporters at the end of the G20 summit on Sunday, Takaichi said the door to dialogue remained open.
• China's Foreign Minister Wang Yi said it was "shocking" for Japan's leader to openly send a wrong signal concerning Taiwan, according to an official statement on Sunday, the latest remarks amid the growing diplomatic row.
• Meanwhile, tentative optimism surrounding Russia/Ukraine peace discussions has boosted EURJPY, which has eroded a solid portion of Friday’s pullback. Above cycle highs at 182.01, sights are on 182.96, the top of a bull channel drawn from the Feb 28 low.

Download Full Report Here

• President Donald Trump will sign an Executive Order in the Oval Office at 16:00 ET 21:00 GMT. Trump could announce a general framework to address health care costs, including a two-year extension of Obamacare subsidies, as soon as today.
• Secretary of State Marco Rubio is back in Washington after hailing progress in Ukraine talks in Geneva. The key takeaway: The 28-point plan is not final. It will be reworked to better reflect Ukrainian and European security considerations.
• Commerce Secretary Howard Lutnick and USTR Jamieson Greer will join EU ministers in Brussels today for the first high-level trade talks between the two sides since the signing of a trade deal in July. While EU officials downplayed the prospect of a major deal, recent moves suggest the Trump administration is increasingly open to tariff modifications to address inflation.
• Treasury Secretary Scott Bessent joined Trump’s call for Senate Republicans to abolish the 60-vote filibuster, another tacit acknowledgement that the Trump administration may be entering a ‘lame duck’ period.
• Rep Marjorie Taylor Greene (R-GA) announced on Friday that she would resign from Congress, effective January. Her exit from Congress and three upcoming special elections raise the risk Republicans could lose the House majority in 2026.
• Trump’s formal designation of Venezuela’s Cartel de los Soles as a foreign terrorist organisation takes effect today, opening up new military options.
• Poll of the Day: 70% of Americans oppose military action in Venezuela.

Full Article: US DAILY BRIEF

• -5,000 FVH6 109-22.75, sell through 109-23 post time bid at 0751:24ET, DV01 $213,400.
• The Mar'25 contract takes lead quarterly position Friday - trades 109-20.5 last (-2.25)