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The White House has asked the Pentagon to develop strike options against Iranian targets that could be exercised ahead of the midterms, according to two administration officials. The planning underscores just how much the president wants to reduce gas prices and demonstrate progress in the conflict before the vote. The Atlantic
The US military has been ordered to be ready for possible Iran strikes as President Trump weighs the timing, with the Pentagon said to have instructed CENTCOM several days ago to conclude preparations for resuming major combat operations in Iran; any campaign is expected to be a joint US-Israeli one including large bombing of Iranian energy, infrastructure and nuclear targets. Axios
Attacks on tankers sailing through the Strait of Hormuz hit their highest last week of any week since the Iran war began, according to maritime security sources tracking incidents, amid a bigger export push by Gulf producers. RTRS
The EU is taking a more assertive approach to China as it heads into talks aimed at avoiding a trade war. The meeting comes as the EU prepares to curb Chinese hybrid-car imports. BBG
Japan’s 30-year government bond auction drew firm demand as elevated yields attracted investors. The bid-to-cover ratio at Thursday’s sale was 3.88 compared with 3.79 at the previous auction and a 12-month average of 3.56. Japan’s bonds were steady after the sale.
The BoJ said price increases driven by higher raw material costs were spreading to consumer goods with some firms hiking prices more often, signaling its concern over broadening inflationary pressure. RTRS
France is considering boosting issuance of shorter-term debt, as investors grow more hesitant to lend to the debt-laden country for longer periods. WSJ
France Finance Minister Roland Lescure told the BBC that there is still investor demand for government bonds. About 38% of France’s high-grade corporate bonds now trade at lower yields than comparable sovereign debt. BBG
Broadcom is said to be in talks to arrange about $30 billion in debt financing to help OpenAI buy custom AI chips the companies are developing together. Tencent is mulling a $5 billion bond sale, people familiar said. BBG
The Fed’s Christopher Waller said further rate hikes will probably be needed, though officials have some flexibility on timing. BBG
Crescent Energy to buy Devon's Eagle Ford assets for $4.22 billion in cash. BBG
Hurricane Isaias is in the US Gulf with 80 mph winds and still strengthening, with Gulf producers shutting in wells and evacuating personnel. BBG
Saudi Arabia is in talks to formalize Hormuz shuttle services in a fight for market share. BBG
Germany doubled its 2026 growth outlook as manufacturing rallies. BBG
NatWest is pulling back from dealing US and European government bonds, exiting as a primary dealer. BBG
Goldman's special bonus for top brass is set to exceed $500 million. BBG
US President Trump administration moves towards temporary sales of some unapproved peptides: Washington Post.
US is set to announce commitments from AI firms to provide more than USD 1bln in computing credits: Washington Post.
BofA Total Card Spending (w/e Oct 3rd) +3% Y/Y (prev. +5.6%); lower income spending growth continued to outpace higher income. Newsquawk
Net exposure to the Mag7 on Goldman's Prime book is ~22% of total US exposure, the highest on record since the start of 2022; US Tech saw its largest monthly % buying since Feb '25 in September. GS Prime
JPM Positioning Intel flags crowding in NDX longs (98th percentile) and RTY shorts (3rd percentile), warning of near-term RTY outperformance risk. JPM
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