US 10YR FUTURE TECHS: (H5) Bull Cycle Remains In Play

US President-elect Donald Trump, speaking to the press for the first time since Congress certified his election win yesterday, has announced that Emirati firm DAMAC Properties will invest "at least USD$20 billion dollars over a very short period of time" to build "massive" new data centres in the Southwest and Sun Belt of the United States. 

• Trump, speaking alongside DAMAC founder Hussain Sajwani, noted a campaign trail pledge to "move quickly through the environmental process" anyone who invests over USD$1 billion in the US.  
• Trump also pledged to reverse a measure announced by President Biden this week that would indefinitely ban new offshore oil and gas production in large swathes of US coastal waters: "I will reverse it immediately, it will be done immediately and we will drill baby drill... and the energy costs are going to come way down."
• It is unclear if Trump has the authority to reverse the ban, Axios noted on the measure: "The steps rely on a provision from a 72-year-old law and affect wildlife-rich areas in the northern Bering Sea; the eastern Pacific Ocean off the West Coast; the eastern Gulf of Mexico; and areas up and down the East Coast... Unlike executive orders that Trump could overturn with the stroke of a pen, Biden's actions rely on an open-ended provision in the 1953 Outer Continental Shelf Lands Act."

MEF has announced it will be looking to sell E8.0bln of the new 12-month Jan 14, 2026 BOT at its auction this Friday, Jan 10.

• US TSY 42D AUCTION: HIGH RATE 4.245%; 47.73% AT HIGH
• US TSY 42D BILL AUCTION: DEALERS TAKE 42.66% OF COMPETITIVES
• US TSY 42D BILL AUCTION: DIRECTS TAKE 4.49% OF COMPETITIVES
• US TSY 42D BILL AUCTION: INDIRECTS TAKE 52.85% OF COMPETITIVES
• US TSY 42D AUCTION: BID/COVER 2.71