AMERICAS OIL: NY Harbor ULSD 1st-2nd Month Spread Widens to 6.18 cents/gal

"Ireland has mandated Danske Bank, Deutsche Bank, Goldman Sachs Bank Europe SE, Goodbody, HSBC and J.P. Morgan as joint lead managers for a forthcoming EUR3bn (no-grow) long 30-year RegS benchmark transaction, maturing 18 October 2055." From market source.

• We had noted that we thought there would be an Irish syndication this week and noted the 30-year as a possibility given that there is already a May-35 IGB outstanding (that was originally issued as a 15-year bond).
• The E3bln WNG transaction size is also in line with our expectations.

• +3,781 WNH5 117-06 (+129), buy through 117-01 post-time offer at 0856:50ET, DV01 $775,000. Contributing to the latest pull higher with the contract tapping 117-07

• The strong performance for equities in the aftermath of the data has helped AUDUSD extend its recovery to 1.82% from cycle lows printed earlier in the week. The latest 45 pip bounce sees the pair pierce above initial 20-day EMA resistance, which intersects today at 0.6236.
• While a bearish trend remains intact overall, these favourable dynamics could prompt a stronger correction, targeting the 50-day average is at 0.6351.
• Rabobank have said that on the approach of Trump’s inauguration next week, the market has started to question if it has priced-in too much inflation risk into US assets. This suggests scope for profit-taking in USD long positions which could limit downside potential in AUD/USD near-term.
• Despite this, on anticipation that USD strength will be a theme of the year ahead and with Chinese economic headwinds still in focus, Rabo see risks of a move to 0.6000 in AUD/USD around the middle of 2025.