LNG: Russia to Fall Short of 100m tons LNG Export Target by 2030

Rally extends further. UK 10-Year yields now 19bp lower on the day, on track to register the largest one-day fall seen since March ’23.

• The benchmark is now ~4bp off the January 8 low (4.659%).
• Futures as high as 91.17, eying resistance at the January 8 high 91.58.

Fig. 1: One-Day Net Change In 10-Year Gilt Yield

• The European Bank Index (SX7E) continues to rally, now up 1.39%,  the index still trades at its highest level since 2015.
• Aside from the Psychological 160.00 mark, next longer term upside area of interest would come at 163.34, this was the 2014 high, and the highest printed level since July 2011.

(Chart source: MNI/Bloomberg):

Moderate amount of call & put position unwinds since the CPI-tied rally in the underlying:

• Block, -2,500 0QG5/0QH5 96.12/96.37 2x3 call spd spds, 0.0 net/Feb over
• -5,000 2QM5 94.75 puts, 3.5 ref 95.87
• +5,000 SFRJ5 95.62/95.75/95.87 put tree, 5.5 ref 95.91
• +5,000 SFRU5 96.25/97.00/97.25 call flys, 4.25 ref 95.985
• -15,000 SFRH5 95.75/95.93 call spds, 4.25 vs. 95.87/0.39%
• -12,000 SFRZ5 95.62/95.87 put spds w/ 95.68/95.93 put spd strip, 25.75 cr ref 95.92