IRELAND: PM Wards Off ST Trouble, But Speculation Over Party Leadership To Grow

Oct-10 14:27

While Taoiseach (PM) Micheal Martin has seen a blow to his authority over the past week, it looks unlikely to unseat him as leader of the Fianna Fail (FF) party in the short term. Martin's issues stem from the ongoing presidential election campaign. The Taoiseach was viewed to have strongly pushed the campaign of public servant and former Gaelic football coach Jim Gavin as FF's candidate in the upcoming election on 24 Oct. This resulted in a significant political blowback for Martin when Gavin was forced to suspend his campaign after news came to light regarding a debt owed to a former tenant of his. 

  • A number of FF Teachtai Dala (TDs, lawmakers) voiced their anger at Martin during a meeting on 8 Oct, claiming that the process of selecting a presidential candidate for the party was flawed and undemocratic.
  • While leading FF to a strong result in the 2024 general election, Martin has served as head of the party since 2011. The ill-will engendered by the Gavin saga could fan speculation about the eventual plans for leadership succession.
  • RTE reports the view of former Ceann Comhairle (speaker) Sean O Fearghail, who claimed in the meeting that FF "must have a plan in place for a slew of internal reforms by the beginning of 2027, after the country completes its EU presidency term. This is viewed as a signal that the leadership question should be broached at that point..." Under the Programme for Government, Martin will step down as Taoiseach in November 2027, to be replaced by Simon Harris from the junior coalition partner, Fine Gael

Historical bullets

GLOBAL: MNI Tech Trend Monitor - Highlighting Key Longer-Term Trends

Sep-10 14:23

MNI Tech Trend Monitor: https://emedia.marketnews.com/marketnewsintl/MNITechTrendMonitor.pdf

We introduce the MNI Tech Trend Monitor - This document highlights a selection of key longer-term trends that we have identified in markets that could be reaching inflection points, trend reversals/extensions or technically significant levels.

Covering:

  • UK Gilt 10y Yield
  • UK Gilt 30y Yield
  • ICE USD Index
  • Europe Banking Stock Index (SX7E)

SOFR OPTIONS: Post-PPI Call Sales

Sep-10 14:22
  • -8,000 SFRZ5 96.50 calls, 6.5 vs. 96.355/0.33%
  • -2,500 SFRH6 97.00 calls, 9.0 vs. 96.595/0.26%
  • -5,000 SFRZ5 96.00/96.12/96.25/96.37 call condors, 4.0 ref 96.355
  • -7,000 SFRU5 96.00 calls, 1.0 ref 95.9825
  • +4,000 SFRZ5 96.68/96.87/96.93 call flys, 1.25\
  • 10,000 0QZ5 96.87 put vs. 3QZ5 96.62 put spds 0.0 net/Blue Dec over

EQUITY TECHS: E-MINI S&P: (U5) Fresh Cycle High

Sep-10 14:20
  • RES 4: 6673.37 2.236 proj of the May 23 - Jun 11 - 23 price swing
  • RES 3: 6617.73 2.0% 10-dma envelope
  • RES 2: 6600.00 Round number resistance  
  • RES 1: 6565.25 Intraday high   
  • PRICE: 6557.50 @ 07:23 BST Sep 10
  • SUP 1: 6462.58/6371.75 20-day EMA / Low Sep 2 
  • SUP 2: 6365.35 50-day EMA 
  • SUP 3: 6313.25 Low Aug 6 
  • SUP 4: 6239.50 Low Aug 1 and a key support

A bull cycle in S&P E-Minis remains intact and the latest pullback has once again proved to be a shallow correction. The contract has traded to a fresh cycle today, breaching the Sep 5 high of 6541.75. This confirmed a resumption of the uptrend and maintains the price sequence of higher highs and higher lows. Sights are on the 6600.00 handle next, a Fibonacci projection. Initial support to watch is 6462.58, the 20-day EMA.