SECURITY: US-Ukraine Agreement Hints At Continued US Security Assistance

May-01 14:45

Fox News has published the full US-Ukraine reconstruction agreement signed by US Treasury Secretary Scott Bessent and Ukrainian Finance Minister Yuliia Svyrydenko in Washington, D.C, yesterday. The document does not include formal security assurances but inculcates a strategic partnership that the US believes will operate as a deterrent for future Russian aggression. 

  • The document notes that the US provided “significant” financial and material support to Ukraine since the Russian invasion in 2022. While the agreement doesn't call on Kyiv to reimburse previous assistance, Ukraine will be required to increase payments to the reconstruction fund to offset any future military or financial assistance, appearing to open the door for continued US military aid.  
  • It notes the American people’s “desire to invest” in a “free, sovereign, and secure Ukraine,” with a “durable partnership” between the two countries.
  • The agreement affirms a “long-term strategic alignment” between the US and Ukraine, stating it is a “tangible demonstration of [US] support for Ukraine’s security, prosperity, reconstruction, and integration into global economic frameworks”.
  • It notes that the US, EU, and other states supporting Ukraine should benefit from the investments in mining, energy, and related technology, but stresses that “states and other persons” who have “acted adversely to Ukraine” should not benefit from the reconstruction, a clear reference to Russia.
  • Regarding minerals, the document states that Ukraine retains sovereignty over its natural resources and the right to determine resources to made available for extraction.
  • The document notes that Ukraine’s recovery requires structural and institutional reforms, in according with democratic values, market principles, and rule of law, in additional to financial investment. 

Historical bullets

GILT AUCTION PREVIEW: On offer next week

Apr-01 14:33

The DMO has announced it will be looking forward to sell GBP2.25bln of the 4.375% Jul-54 Gilt (ISIN: GB00BPSNBB36) at its auction next Tuesday, April 8.

PIPELINE: Kommunalbanken Norway 4Y SOFR Upsized & Launched

Apr-01 14:26
  • Date $MM Issuer (Priced *, Launch #)
  • 04/01 $1B *DBJ 5Y SOFR+59
  • 04/01 $850M #Kommunalbanken Norway 4Y SOFR+41 (upsized from $500M)
  • 04/01 $500M Nexa WNG 12Y +250
  • 04/01 $Benchmark LPL Holdings 3Y +135a, 5Y +150a, 10Y +187a
  • 04/01 $Benchmark Realty Income 10Y +145a
  • 04/01 $Benchmark NRW Bank 5Y SOFR+49a

OAT: Natixis Leave OAT/Bund Call Unchanged After Le Pen Verdict

Apr-01 14:22

Natixis note that “the consequences of the Le Pen judgment on the French political landscape are still difficult to predict, but recent polls suggest her ineligibility for the next presidential elections would not be a disadvantage for the National Rally”.

  • They maintain their end ’25 10-Year OAT/Bund target at 70bp, with the “risk of snap elections after the summer and uncertainties surrounding the 2026 budget” risking a move to 75-80bp over that horizon.