Blockchain Revolution Series: Canadian VC Portag3 Secures $320 Mln. (in Fund II) on FinTech Start-up
Digital Currency Revolution Series: ‘Crypto Dad’ Now With New York-Based Law Firm, Entrusted For Crypto and Blockchain Innovation
Cryptocurrency Derivatives Series: Bakkt Becomes Pioneer To Introduce Regulated Bitcoin Option, Unveils Cash-Settled Futures Also
Cryptocurrency Derivatives Series: OKEx Provides One Step Access For All Types of Crypto-Derivatives Instruments
FxWirePro: Snippets of European Credit Avenues and Rates Derivatives Strategy
It was a risk-on week in European credit markets as spreads ground tighter together with bund yields rising, following a flurry of positive news including:
i) Signs of optimism on both the US-China and US-Europe tariff discussions;
ii) A better-than expected Q3 earnings season with close to 60% of European and 80% of US companies beating EPS estimates; and
iii) Relatively better economic data out of the Euro Area with PMIs beating survey expectations.
The primary markets showed no signs of slowing, as investment grade companies issued €19bn across 26 bonds, equally split across corporates and financials. Volumes were supported by Shell’s €3bn triple-tranche deal and Apple’s return to the Euro market after two years (with the €2bn green bonds pushing Reverse Yankee issuance to a fresh record of €112bn this year).
Strategy: Hold reds EURUSD FX OIS cross currency basis widener
Receive €100mn 1Yx1Y EURUSD FX OIS basis (swap start date 7 Oct 2020, swap maturity date 7 Oct 2021) to remain in a 1Yx1Y EURUSD FX OIS basis widener at -27.7bp versus an entry level of -32.7bp; (Cross currency basis 4Q’19 Outlook 3rd October 2019); P&L since inception: -5bp of yield. Courtesy: JPM
Tesla Cybertruck update: Is Elon Musk's futuristic pickup truck joining the 'Cyberpunk 2077' vehicle lineup?