US TSYS: Late SOFR/Treasury Option Roundup: Rate Hike Rising

SOFR & Treasury options trade outlined below: early SOFR call volumes saw rise in puts as underlying retreated, Treasury options leaning towards 10Y puts for second consecutive session. Rate hike projections vs. late Tuesday levels (*): Oct'26 at +15.4bp (+12.2bp), Dec'26 +35.4bp (+31.4bp), Jan'27 +47.7bp (+41.9bp), Mar'27 +64.8bp (+58.2bp). * SOFR Options * +7,000 OQF7 95.00 puts, 16.5 vs. 95.205/0.37% * -4,000 SFRH7 94.87/95.87/96.00 put trees, 3.75 ref 95.355 * -5,000 SFRM7 95.62/95.87/96.12 call flys w/ 2QZ6 95.87/96.12 call spd strip, 3.5 * -4,000 SFRZ6 95.18/95.31/95.62/95.75 put condors, 5.75 ref 95.64 * +10,000 SFRZ6 95.31/95.43/95.81/95.93 put condors, 10.5 ref 95.64 * +10,000 SFRX6 95.50/95.56/95.62 put trees, 0.5 to 0.62 ref 95.64 * -2,000 SFRH7 95.00/95.37 put spds, 12.5 ref 95.365 * +7,500 SFRM7 96.62/97.37 2x3 call spds, 2.0 net ref 95.21 * +10,000 SFRX6 95.87/95.93/96.00 call flys, 0.25 ref 95.675 * +2,000 SFRM8 95.00 puts w/ SFRU8 95.25 puts, 89.0 * +2,000 SFRX6 95.50/95.56/95.62 put trees, 0.5 ref 95.675 * Block, 5,000 0QV6 95.68/95.81 call spds, 0.5 ref 95.285 * 4,000 SFRX6 95.56 put with SFRZ6 95.75/96.00 2x1 put spds, 11.25 total vs. 95.68/0.09% * +1,000 OQH7 95