CHILE: CPI Inflation Rises To 4.9% Y/y In January, Above Expectations

Short setting dominated in SOFR futures on Tuesday, with only limited pockets of net long cover seen.

• Firmer-than-expected ISM services prices paid & JOLTS jobs data drove yesterday’s hawkish adjustment.

• "The Republic of Portugal, rated Moody's A3 (Stable), Standard and Poor's A- (Positive), Fitch Ratings A- (Positive), DBRS A (Positive), Scope A (Stable) has mandated BBVA, BNP PARIBAS, CaixaBI, Credit Agricole CIB, J.P. Morgan and Morgan Stanley as Joint Lead Managers for a forthcoming 10-year Benchmark Portuguese Government Bond (PGB) maturing on 15 June 2035."
• "The syndicated transaction is expected to be launched and priced in the near future, subject to market conditions. The issue will be RegS Category 1, 144A eligible and contain CAC." 
• Details per market source
• We expected a Portugal syndication this week and saw scope for a 10-year launch. We pencil in a E3-4bln size for that syndication.

Short setting in TY futures dominated on Tuesday, with ~$4.2mln of fresh DV01 equivalent net shorts set in the contract.

• Elsewhere, rounds of net long cover (TU & UXY) and net short setting (FV, US & WN) near enough offset in DV01 equivalent terms, meaning that the positioning movement in TY futures drove the totality of the net DV01 positioning shift on the curve.
• Firmer-than-expected U.S. data, continued reassessment of adequate term premium as we head towards Trump’s second Presidential term and a busy $IG supply schedule all contributed to yesterday’s weakness.