OIL: OPEC Oil Output Fell by 50k b/d in January: Reuters Survey

Bloomberg reports that Prime Minister Justin Trudeau is set to speak in a presser from his residence at Rideau Cottage in Ottawa at 1045ET (1545GMT, 1645CET), with the Toronto Star reporting that he will announce his intention to stand down as leader of the centre-left Liberal Party of Canada (LPC) once a new leader is found. Trudeau has led the LPC since 2013, and has served as PM since 2015. 

• As the Star reports, "it is far from clear whether [an announcement of intention to resign] will satisfy his mutinous caucus, most of which have now - at least privately in caucus meetings - called for him to leave."
• The next election does not have to take place until 20 October. It remains to be seen whether a change in LPC leader will accelerate this timing.
• Politico reports the House public accounts committee meets tomorrow (7 Jan), where the main opposition centre-right Conservative Party of Canada (CPC) is expected to begin the process of bringing a fourth no-confidence vote against the gov't since September 2024. 

Japanese firm Nippon Steel filed a lawsuit challenging US President Joe Biden for exercising "unlawful political influence" over a proposed USD$14.9 billion acquisition of US Steel. The decision to block the acquisition, formalised by Biden on Friday, threatens to drive a wedge between the two countries - each other’s top foreign investors.

• Nikkei reports: “Nippon Steel asked the court to set aside Biden's order... and to instruct the Committee on Foreign Investment in the United States (CFIUS) to conduct a new review of [the deal]”.
• Japanese Prime Minister Shigeru Ishiba told reporters today: "It is unfortunately true that there are concerns being raised within Japan's industrial world over future Japan-US investment… It's something we have to take seriously."
• Ishiba added: "...we will strongly call on the US government to take steps to dispel these concerns… They need to be able to explain clearly why there is a national security concern, or else further discussions on the matter will not work,"
• US President-elect Donald Trump said in a statement on Truth Social a short time ago: "Why would they want to sell U.S. Steel now when Tariffs will make it a much more profitable and valuable company?"
• The US Chamber of Commerce noted that Japanese investment supports nearly one million American jobs, warning the decision "could have a chilling effect on international investment in America.”

"The Republic of Slovenia, rated A3 (positive) / AA- (positive) / A (stable), has mandated Deutsche Bank, Erste Group, Goldman Sachs Bank Europe SE, HSBC, J.P. Morgan and OTP Banka Slovenia to lead manage a new benchmark EUR transaction with a 30-year tenor."

• "The deal is expected to be launched in the near future, subject to market conditions" (all details per Bloomberg)
• We expected a Slovenia syndication this week and saw scope for a 30-year SLOREP to be launched some time this year.