CEEMEA OPEN: Just the one deal on offer to end the week

- The Dollar Index is a touch firmer from the 1mth low of 104.077 yesterday (now 104.444) after Fed's Musalem said recent data indicates the Fed is making good progress on inflation & yesterday's CPI data was encouraging. Musalem expects the economy to grow 1.5-2% this year & thinks monetary policy is restrictive 'but not overly so'.

- To recap, inflation eased more than expected in June to 3% y/y vs the 3.1% consensus forecast and 3.3% prior reading. The core print came in at 3.3% y/y vs the 3.4% consensus forecast and prior reading and was the lowest print since April 2021.

- The US10yr yield is also 5bps firmer at the European open on Friday from the yday 3.5mth low of 4.16%.

- The US 2yr yield is around 4.5166% vs a 4mth low at 4.4858 yest & the 2-10yr spread ended at -30.3bps vs a 10wk wide at -29.4bps.

- US equity indices retreated from record highs after the soft inflation data, Nikkei also fell heavily but Hang Seng rose 2% to a 17 day peak.

- Brent futures firmed slightly but are still well inside 3mth ranges.

- Sep24 Bunds traded in a 12 tick range o/night & as much as 1/2pt lower to 131.58 vs a 2wk high at 132.08 on Thurs.

Fresh in the CEEMEA Pipeline

- No new additions to the pipeline.

On the Radar

- Just the one deal that remains in the CEEEMA pipeline at the end of the week

- Eregli Demir ve Celik Fabrikalari T.A.S (Erdemir), the largest steel producer and sole integrated flat steel producer in Turkiye, commenced a series of fixed income investor meetings in London yesterday (July 11) to advertise its debut inaugural USD Reg S 5yr Senior Unsecured note offering.

- Erdemir has mandated BofA Securities, BNP Paribas and Citi as Joint Global Coordinators and Joint Bookrunners, and BBVA, Emirates NBD Capital and Societe Generale as Joint Bookrunners.

Priced Deals

- No new priced deals.

What to watch on Friday

- On today's CEEMEA agenda, Turkish C/A Balance (07GMT), and Russian Trade Balance (13GMT).

- In the US, the June PPI print (12.30GMT).

- Central bank speakers today include Fed s Goolsbee.

Wider market Sentiment

- USD Index at 104.473

- UST 2yr/10yr at 4.508%/4.206%

- Bund 2yr/10yr at 2.781%/2.459%

- Brent at $85.76/brl

Updated at 06:20GMT