# Block 014 — Cross-currency basis

**Status:** ○ queued
**Phase:** Phase 1 (Rates)

## Topic scope

USD-JPY basis, EUR-USD basis. Why CIP doesn't hold. What basis tells you about USD funding stress. BIS Triennial data. Recent FX basis papers.

## Plan
**Plan**

**Prerequisite:** Block 00a (rubric), Block 00b (anti-patterns). FX basis trades have specific margin requirements.
_Filled at session close of prior block, per 2026-06-23 convention._

**Status:** ✓ done — Session 21 (2026-07-11). 8 Anki cards pushed (7 forward + 1 reverse on swap-points-vs-basis distractor). 8 new Working/Working+ items filed in competence map. Live-data error caught: Cbonds FX swap points ≠ cross-currency basis; user reported -119 from Cbonds 3M USD/JPY swap points, surgical correction mid-session. Cross-currency basis check folds into existing rates-funding daily routine (Block 012) per cumulative-time gate; no new routine.

**Process changes filed at session close (codified in macro-mentor skill):**
- **Instrument confusion pattern:** when a live-data probe produces a number that doesn't reconcile to the textbook scale, verification gate extends to (a) right series, (b) right tenor, (c) right units. Block 014 swap-points error is structurally similar to Block 011 off-the-run paper error.
- **Cross-currency basis as formal Rates→FX hand-off:** Block 014 is the bridge from Phase 1 Rates to Phase 1 FX. Phase 3 Block 073 (Rates ↔ FX cross-asset) should reference Block 014 as canonical rates-side foundation.

## Carry-forward to next block

Block 015 (W27 verification) opens with cold-recall probes on all flagged items from Blocks 008-014. Synthesis weekly note covers 2026-06-30 → 2026-07-11 with the three-leg signal-layer diagnostic as load-bearing insight.