OIL: Urals Pricing Drops Below $60/bbl Price Cap
Feb-06 14:31
Urals pricing drops below $60/bbl price cap for the first time since December in a sign that US sanctions on Russia are impacting, Bloomberg reports.
• The price of Urals has dropped more than $10/bbl since the US imposed sanctions targeting Russia’s oil trade on Jan.10 to around $59/bbl as of Feb. 5, according to Argus data.
• Urals is trading at almost a $16/bbl discount to Brent, the highest since May.
• The vessels designated under the Jan.10 sanctions were responsible for 44% of Russian crude voyages in 2023, Vortexa analysis showed.
• It had previously been suggested that Russia would need to sell some crude at a discount to engage Greek-operated vessels that previously participated in the Russian oil trade in line with price caps.
• Prices below $60/bbl conform with the cap set by the G7 and should in theory enable Russian exporters to use western services like tankers and insurance, provided traders can prove that the barrels have been purchased below the threshold.
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EGB SYNDICATION: Belgium 10-year: Allocations out
Jan-07 14:30
- Size set earlier E7bln (in line with MNI expectations and same as 2023/24 10-year syndis)
- Spread set earlier at MS+66bps (guidance was +68bps area)
- Books closed in excess of E89bln (ex JLM interest)
- Maturity: 22-June-2035
- HR 103% vs 2.60% Aug-34 Bund
- Settlement: 14-January-2025 (T+5)
- Coupon: Annual ACT/ACT, short first to 22-June-2025
- ISIN: BE0000363722
- Bookrunners: BNPP (DM/B&D) / CACIB / HSBC / JPM / MS
- Timing: Allocations out, hedge deadline 14:50GMT / 15:50CET. Pricing to follow
From market source
EQUITIES: US Cash opening calls
Jan-07 14:26
SPX: 6,003.3 (+0.5%); DJIA: 42,897 (+0.4%/+190pts); NDX: 21,632.4 (+0.3%).
PIPELINE: $5B ADB 3Y SOFR Debt Launched
Jan-07 14:23
Shaping up to be another busy day for corporate bond issuance - unlikely to outpace Monday's record $59.55B.
- Date $MM Issuer (Priced *, Launch #)
- 01/07 $5B #ADB 3Y SOFR+31
- 01/07 $1b #Kuwait Finance House (KFH) 5Y SOFR Sukuk +95
- 01/07 $6B European Investment Bank (EIB) 5Y SOFR+42
- 01/07 $500M DBJ WNG 10Y SOFR+73
- 01/07 $500M Boston Gas WNG 10Y +145a
- 01/07 $Benchmark Chile 12Y +137.5a
- 01/07 $Benchmark World Bank 7Y +54
- 01/07 $Benchmark Met Tower 3Y +70a
- 01/07 $Benchmark CIBC 5Y SOFR+75a
- 01/07 $Benchmark Protective Life 7& +105a
- 01/07 $Benchmark Kommunalbanken 5Y +51
- 01/07 $Benchmark Santander 5Y +135a, 10Y +160a
- 01/07 $Benchmark APA Corp 10Y +180a, 30Y +215a
- 01/07 $Benchmark Cncl of Europe Dev Bank 5Y SOFR+45a
- 01/07 $Benchmark GA Global Funding 5Y +120a, 10Y +150a
- 01/07 $Benchmark HPS Corporate Lending 3Y +165a, +7Y +195a
- 01/07 $Benchmark Kexim 3Y +55a, 3Y SOFR, 5Y +75a, 10Y +90a
- 01/07 $Benchmark SMFG 5.25Y +100, 5.25Y SOFR, 7Y +110a, 10Y +120a
- 01/07 $Benchmark Daimler Truck Fin NA 3Y, 3Y SOFR, 5Y +105a, 7Y +115a, 10Y +125a
- Expected Wednesday:
- 01/08 $Benchmark Inter-American Development Bank (IADB) 5Y SOFR+45a
