MH Trade Summary: Staying Long SFRM6, and Short 30Y USTs as Ultras Sell Off
- By Bilal Hafeez
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Current Trades
Portfolio Changes
We made no changes since our last update.
During the week, Ben suggested political gridlock will keep PLN pressured. This supports his bearish view on PLN.
Elsewhere, Antonio re-iterated his long SFR M6 and short the 30y UST as the slowdown he expects could worsen. The backend has underperformed the past couple of weeks with 10s30s steepening further, while 2s10s is more rangebound.
As summer ends, we expect to initiate more trades in coming days.
Open Trades (Including Trade Notes)
DM
Rates
- Short 30y UST (50% position) (entry: 4.83%, target: 5.05%, stop: 4.75%) – read here.
- Long SOFR Jun 26 (50% position) (entry: 96.660, target: 97.410, stop: 96.645) – read here.
FX
- Short DXY (50% position) (entry: 99.80, target: 90.00, stop: 103.50) – read here.
- Long NOK/SEK (entry: 0.9415, target: 1.000, stop: 0.918) – read here.
EM
FX
- Long USD/CNH Jun 25 7.3×7.4 call spread (entry: 13bp, target: 60bp) – read here.
- Short EUR/ZAR (entry: 20.670, target: 19.800, stop: 21.100) – read here.
- Long EUR/PLN (50% position) (entry: 4.270, target: 4.450, stop: 4.180) – read here.
Please let us know if you would like to see the full list of our historic trades.
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