Rates rose globally, led by UK Gilts, which rose up to 20bps after Rachel Reeves' position as Chancellor of the Exchequer, who has had a fiscally restrictive stance, was called into question, which also caused sterling and UK equities to fall; in the US long rates rose up to 6bps, in a session where the Nasdaq rallied and the Dow closed flat. In commodities we saw significant rallies in energy and metals, which rose 1-4%. VIX was stable at 17.

Venezuelan bonds continue to have flow in both directions, today seeing better performance in the sovereign mid-side, while PDVSA also gained 0.25pts, with focus on the short and mid-side. Reuters reported that Vitol had reportedly placed a bid of over $10Bn for Citgo, pending the final outcome of the auction; previously, Bloomberg had reported that it expected Gold Reserve to be declared the winner of the auction.

Latin American credits had little flow, moving in a range of 0.25pts, in what will be a slow rest of the week due to Friday's holiday and tomorrow's midday session.