After yesterday's rally in global STIR.........>

STIR: After yesterday's rally in global STIR markets triggered by a dovish ECB,

short sterling and Eurodollar futures have fallen back a little in the European

morning session.

- The short sterling strip is 1-1.5 ticks lower across the curve, with a more

positive risk appetite in UK markets after the EU agreed to extend Brexit until

Halloween. Media reports have suggested that this was a compromise between the

French who wanted a shorter extension and Germany who wanted a longer extension.

The UK must now participate in EU elections. May is due to make a statement to

parliament today with an unconfirmed time of 15:30BST expected. At 17:00BST

parliamentary recess will begin which will hopefully mean we get some respite

from constant Brexit headlines!

- The Eurodollar strip is down 0.5-1.5 ticks across the curve with a number of

Fed speakers due up today along with PPI data. Yesterday's FOMC Minutes were

largely as expected and saw little market reaction.

- The Euribor strip is unch to 0.5 ticks lower today having held on to most of

its post-ECB gains.