MARKET RECAP: FXWW

From the FXWW Chatroom: Two issuers raised $2.75bn in the USD IG primary market. BNY Mellon 5s/10s, Manufacturers & Traders Trust Co 3s.
· The following SSA issuance are expected to be priced today:
o Nordic Investment Bank [NIB] (Aaa/AAA) BMO Joint Lead $1bn (no grow) 3yr SEC Registered Global benchmark issue at MS flat area IPTs
o CPPIB Capital Inc. [CPPIB] (Aaa/AAA/AAA) 3yr RegS/144a benchmark issue at MS +9a IPT
o Caisse D’Amortissement De La Dette Sociale [CADES] (Aa2/AA) 3yr RegS/144a benchmark issue at MS +14a IPT
· The trade weighted USD (BBDXY) lost -0.17%. The greenback dropped against all peers in the G10 sector except for the yen. The USD briefly reversed losses and rose less than +0.1% to a new high for the day after Senate Minority Leader Chuck Schumer said a deal has been reached to end the shutdown. The dollar then relinquished those gains and was nursing a loss of ~0.1%, remaining close to a 3-year low. EUR/USD rose +0.3% to ~1.2257 after briefly paring gains following reports on the progress on the stopgap spending bill. GBP/USD rose +0.9% to a new high at 1.3988, highest since the Brexit vote in 2016. USD/JPY rose +0.4% to a high of 111.22 in NY afternoon trading, rallying ahead of the BOJ decision Tuesday. Bitcoin dropped -8.91% to $10,354
· WTI oil rose +0.41% to $63.57/bbl. Oil closed higher after Saudi Arabia and Russia signaled production cuts may be extended into 2019. Halliburton Co. said U.S. shale is just the beginning of a worldwide oil-market recovery. Gold gained +0.2% to 1,333

· All four major US equity indices gained on Monday: NASDAQ (+0.98%) S&P 500 (+0.81%) DJIA (+0.55%) Russell 2000 (+0.47%). On Monday, nine of the eleven S&P sectors advanced led by Telecoms (+2.35%) and Energy (+2.10%). Only Materials (-0.21%) and Industrials (-0.03%) were in the red.

· US 10yr yields dropped -0.9bp to 2.65%. Treasuries were little changed in late U.S. trading after retreating from session highs. Gains faded after senators reached agreement to fund the govt through Feb. 8. Yields were within 1bp of Friday’s closing levels, 2Y-10Y at new multi-year highs, while 30Y remained lower on the day; 5s30s flattened by ~2bp ahead of 2Y/5Y/7Y auction cycle beginning Tuesday
· Total US Treasury volumes relative to 20-day moving avg: Tokyo (204%) London (184%)
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