EU CREDIT RATING: Iren: Fitch Upgrade

A pretty flat open for GBP STIRs, which consolidate recent hawkish moves to fresh multi-month extremes in the light of domestic data developments and the BoE’s hawkish rate cut earlier this month.

• SONIA futures essentially flat, while BoE-dated OIS prices ~9bp of easing through year-end, with the next cut not fully discounted until the end of the April MPC decision.
• A fresh move lower in SFIZ6 would target the June low (96.330).
• SFIZ5/Z6 has rebounded from fresh cycle lows of -32.0, to last trade at -24.0.
• A reminder that MPC member Mann spoke on Tuesday afternoon. She noted that "persistent inflation persistence is my central case." She argued against near-term rate cuts due to inflation persistence and provided further colour on her "activist stance" towards policy.
• Only lower tier CBI distributive trade data is scheduled on the UK macro calendar today.

• The Dollar was in the green throughout the Overnight session, some Overnight desk suggested possible Month End flows, but from what we have seen, the signals at some of the Banks are so Weak that their models have not show any real convictions for the Dollar either way.
• If we look at Bond Extensions, these are OK for the US, just above the August average, this could provide a late small bid into Treasuries Friday, keeping Yield lower, and potentially also the USD.
• The Kiwi has taken over the JPY as the worst early small performer, but NZDUSD still trades well within Yesterday's range, and would need to see a test all the way down to 0.5812, to reverse Powell's tilted Dovish speech.
• USDJPY is founding some resistance at the 148.00 figure, printed a 147.97 high earlier.
• A push up to 148.56, would also reverse Fed Powell's sell off.

• RES 4: 6600.00 Round number resistance
• RES 3: 6586.68 2.0% 10-dma envelope
• RES 2: 6523.63 1.764 proj of the May 23 - Jun 11 - 23 price swing 
• RES 1: 6508.75 High Aug 15 and all-time High
• PRICE: 6486.00 @ 07:26 BST Aug 27
• SUP 1: 6362.75 Low Aug 20
• SUP 2: 6313.25 Low Aug 6  
• SUP 3: 6311.73.76 50-day EMA
• SUP 4: 6239.50 Low Aug 1

The dominant uptrend in S&P E-Minis remains intact and the contract is trading at its recent highs. Moving average studies are in a bull-mode position, highlighting a clear uptrend and positive market sentiment. Attention is on 6508.75, the Aug 15 high and the bull trigger. Clearance of this level would confirm a resumption of the uptrend and open 6523.63, a Fibonacci projection. Support to watch lies at  6311.73, the 50-day EMA.