A risk-off sentiment has dominated markets.....>

STIR: A risk-off sentiment has dominated markets today, initially driven by soft

Chinese data and falling Asian equities. Weak PMIs, particularly in France, have

continued the theme of weakening data in Europe. Anecdotal evidence has pointed

to a host of risks weighing on confidence and output: French protests, weak

export orders (particularly from China), a weak auto sector, Brexit and

tightening financial conditions.

- The Eurodollar futures strip has ticked up today with Reds and Greens moving

4.5-5.5 ticks higher, Blues moving 4-4.5 ticks higher and a flattening of the

curve in the White area.

- The Euribor curve has flattened, with Whites unchanged on the day, Reds 0.5-1

tick higher, Greens 1-1.5 ticks highs and Blues 2 ticks higher.

- Short Sterling Whites are unchanged on the day with Reds, Greens and Blues

0.5-1 tick higher. There have been some Brexit headlines but these have not

really been "new news".

- Swedish and Norwegian FRAs have moved gradually higher this morning with

implied rates generally down 1-2bps across the curves.