STIR markets are focused on the Fed............>

STIR: STIR markets are focused on the Fed announcement which is due at

1900GMT/ET today. Most still expect the Fed to raise rates by 25bp later but the

real discussion is on how the new dots look, the SEPs and Powell's press

conference.

- Eurodollar futures are generally one tick lower on the day. Some contract

prices fell by 1-2 ticks following the release of stronger than expected existed

home sales data.

- In contrast, the Short Sterling strip has shifted 1-3 ticks higher helped by

the Y/Y CPI print falling from 2.4% to 2.3%. This fall in CPI was expected but

with the BoE meeting tomorrow has helped pushed Short Sterling contracts higher.

The biggest moves have been seen in Reds and Greens which are 2.5-3 ticks higher

on the day.

- Euribor futures have also drifted higher in line with a fall in EGB yields

with Whites up 0.5 ticks and the rest of the strip 1-2 ticks higher on the day.