SECURITY: White House In "Close Correspondence" w/Interim VEN Authorities

Jan-07 17:24

White House Press Secretary Karoline Leavitt has told reporters at the White House that the Trump administration is in "close correspondence" with the "interim authorities" in Venezuela. She says that it is "too premature for an election timetable for Venezuela." Adds that the US will be "selectively rolling back sanctions" on the country to facilitate oil sales.   

  • Leavitt says, echoing Secrtary of State Marco Rubio's comments moments ago on Capitol Hill, "we have maximum leverage" over the interim authority, whose decisions will be dictated by the US. See: SECURITY: Rubio Outlines '3-Fold' Process To Leverage VEN Oil To Enact Change
  • Leavitt asserts that a deal was struck with the interim authorities for the US to take control of sanctioned oil that was "just sitting on ships because of the effect of US quarantine."  
  • Leavitt says that the oil will arrive in the US "very soon" and the Department of Energy has already "begun marketing the oil." She notes that Energy Secretary Chris Wright is in Florida today meeting with oil execs, and will have a second meeting with key oil figures at the White House on Friday to discuss "immense opportunities".
  • The DOE said in a statement it has, "engaged world’s leading commodity marketers, key banks to execute and provide financial support for Venezuelan crude oil and crude products sales," per Reuters.
  • Leavitt stresses that there is "a long-term plan" but declines to provide additional details, defers to Secretary Rubio. She says there are currently no US boots on the ground in Venezuela, but says Trump reserves the right to use military force if necessary. 

Historical bullets

PIPELINE: Corporate Bonds - Updated Guidance

Dec-08 17:14
  • Date $MM Issuer (Priced *, Launch #)
  • 12/08 $750M Level 3 Financing 10NC5 
  • 12/08 $Benchmark Guardian Life 5Y +65
  • 12/08 $Benchmark BNP Paribas PerpNC8 6.875%
  • 12/08 $Benchmark CNO Global Funding 5Y +98
  • 12/08 $Benchmark Equitable America Global Funding 3Y +70
  • 12/08 $1.25B Asurion 7NC3 investor calls, pricing later in week
     

LOOK AHEAD: Tuesday Data Calendar: ADP Weekly, Redbook, JOLTS for Sep/Oct

Dec-08 17:11
  • US Data/Speaker Calendar (prior, estimate). All times ET
  • 12/09 0600 NFIB Small Business Optimism
  • 12/09 0815 ADP NER Pulse weekly employ data
  • 12/09 0855 Redbook Retail Sales
  • 12/09 1000 JOLTS jobs data for Sep & Oct
  • 12/09 1000 KC Fed LMCI
  • 12/09 1130 US Tsy $75B 6W bill auction
  • 12/09 1300 US Tsy $39B 10Y Note re-open (91282CPJ4)
  • Source: Bloomberg Finance L.P. / MNI

US TSYS SUMMARY: Preview 3Y Note Auction

Dec-08 17:07

Tsy futures are remain weaker - but off lows (TUH6 at 104-07.25 -1.12 vs 104-03.75 low) ahead of the $58B 3Y note auction (91282CPP0) at 1300ET, WI is currently at 3.627%, 4.8bp cheap to last month's stop. Results will be available shortly after the competitive auctions closes at 1300ET.

  • November auction recap: Treasury futures pared losses slightly (TUZ5 104-04.88, -1.88) after $58B 3Y note auction (91282CPK1) stopped through: drawing 3.579% high yield vs. 3.589% WI; 2.85x bid-to-cover vs. 2.66x prior.
  • Peripheral stats: Indirect take-up 62.96% vs. 62.7% prior; direct bidder take-up at 27.32% from 26.58% prior; primary dealer take-up 9.72% vs. 10.72% prior.