SOUTH AFRICA: US Agencies Banned From All G20 Work in South Africa, WaPo Report

May-14 15:50

The Washington Post report that the White House National Security Council has ordered U.S. agencies and departments to suspend work with the Group of 20 conference set to be hosted by South Africa this year, according to people familiar with the matter. Highlights from the article below:

  • "The White House National Security Council has ordered U.S. agencies and departments to suspend work with the Group of 20 conference set to be hosted by South Africa this year, according to two people familiar with the matter"
  • "A White House official referred to Trump's comment Monday accusing South Africa of carrying out a "genocide" against White citizens and saying he would not attend the G-20 leaders' meeting in Johannesburg unless the "situation is taken care of.""
  • "South Africa rejects the Trump administration's accusations, saying there is no evidence of persecution or a "White genocide" in the country."
  • "One of the biggest skeptics of the G-20 inside the administration is Secretary of State Marco Rubio, who announced his own boycott of a G-20 meeting of foreign minsters in Johannesburg in February."
  • "Other parts of the government have been more open to engaging the G-20, said the third U.S. official familiar with the matter."

Frictions between US-South Africa officials have been escalating ahead of President Ramaphosa’s visit to the US next week. Trump has equated efforts by the South African government to undo racial inequalities created by apartheid to anti-white discrimination. Other points of dispute between the US and South Africa include Pretoria’s decision to file a case in the International Court of Justice accusing Israel of committing a genocide against Palestinians in Gaza and South Africa’s close ties with Iran.

Historical bullets

OPTIONS: Larger FX Option Pipeline

Apr-14 15:38
  • EUR/USD: Apr16 $1.1100(E1.1bln), $1.1200(E1.1bln)
  • USD/JPY: Apr16 Y145.00-20($1.1bln); Apr17 Y145.00($1.2bln)
  • EUR/GBP: Apr16 Gbp0.8650(E1.2bln)
  • AUD/USD: Apr16 $0.6350(A$1.1bln), $0.6400(A$1.7bln)
  • NZD/USD: Apr16 $0.5950($1.2bln)
  • USD/CAD: Apr16 C$1.4335($1.1bln); Apr17 C$1.4000($1.4bln)

CHF: Rallying Well Off Lows, EUR/CHF on Track to Finish Flat

Apr-14 15:33
  • Having been sold through much of the European morning, CHF weakness has partially reversed into the close, with EUR/CHF on course for a flat finish after trading with gains of as much as 1% ahead of the US crossover.
  • Helping drive the move will have been the upside of ~150 pips or so in CHFJPY into the WMR fix, after a generally muted session with few market-moving headlines.
  • While firmer global equities will have been bearish CHF, the weakness off the best levels for US stocks futures has proved only minimal, leaving CHF moves here likely flow- or order-driven rather than a fundamental run higher for the currency.
  • This leaves EUR/CHF as a notable standout in major assets in that it has reversed only a very small part of the post-Liberation Day U-turn losses. As a result, prices are within range of the bear trigger at Friday's 0.9222 low and a series of horizontal supported tested twice last year. Slippage through here would be the lowest rate (again) since the removal of the CHF peg in 2015.

FED: US TSY 26W BILL AUCTION: HIGH 4.060%(ALLOT 96.78%)

Apr-14 15:32
  • US TSY 26W BILL AUCTION: HIGH 4.060%(ALLOT 96.78%)
  • US TSY 26W BILL AUCTION: DEALERS TAKE 23.73% OF COMPETITIVES
  • US TSY 26W BILL AUCTION: DIRECTS TAKE 9.46% OF COMPETITIVES
  • US TSY 26W BILL AUCTION: INDIRECTS TAKE 66.81% OF COMPETITIVES
  • US TSY 26W BILL AUCTION: BID/CVR 2.80