US-RUSSIA: Speaker Johnson Says He Supports Russia Sanctions Bill - Punchbowl

MEF has announced it will be looking to sell the following at its auction Thursday, June 12:

• E2.0-2.5bln of the 2.65% Jun-28 BTP (ISIN: IT0005641029)
• E2.75-3.0bln of the 3.25% Jul-32 BTP (ISIN: IT0005647265)
• E1.0-1.25bln of the 1.25% Oct-54 BTP (ISIN: IT0005611741)

The on-the-run 3Y and 7Y offerings are as we expected. We didn't have a strong conviction around which 15+ year BTP was going to be on offer alongside them. 

• Stocks are mixed at midday Monday morning trade, inside narrow ranges with the SPX eminis and Nasdaq outperforming a mildly weaker Dow index. Relatively muted trade as markets await Wednesday's CPI release.
• Currently, the DJIA trades down 44.63 points (-0.1%) at 42718.52, S&P E-Minis up 6 points (0.1%) at 6012.75, Nasdaq up 61.4 points (0.3%) at 19591.89.
• Materials, materials, energy and tech-related stocks led gainers in the first half: Albemarle +4.50%, Enphase Energy +4.03%, Evergy +3.43%, Qualcomm gained +3.55% while Intel Corp climbed 3.46%.
• Meanwhile, health care and insurers underperformed in the first half, weaker after Goldman Sachs healthcare conference where industry leaders reported average hospital stays remain longer than pre-Covid levels.
• Laggers included Allstate Corp -4.23%, Aon -4.23%, American International Group -4.18%, Progressive -4.16%, PG&E Corp -4.16% and Arthur J Gallagher -3.24%.

The Atlanta Fed's GDPNow estimate for Q2 ticks back up to 3.8% Q/Q SAAR, where it stood last Thursday before the May employment report saw a downtick to 3.7%. 

• This comes after today's wholesale trade data: equipment investment has been revised up slightly (1.7% Q/Q SAAR), with the drag from inventories seen a little less acute (though no doubt seen a drag in the quarter after Q1's tariff front-running buildup).
• The downgrade Friday (no estimate was published at the time) was largely due to slightly weaker personal consumption and investment estimates. See table below.
• Reflecting the relative lack of economic activity data this week, It's a full 8 days until the next published GDPNow update (June 18).