CAPITAL GOODS: MTU Aero Engines (MTXGR: Baa3 pos/ /BBB): Q4 & FY24

Rating reviews of note from after hours on Friday include:

• Fitch affirmed Estonia at A+; Outlook Stable
• Morningstar DBRS confirmed the EFSF at AAA, Stable Trend
• Morningstar DBRS confirmed the ESM at AAA, Stable Trend
• Morningstar DBRS upgraded Portugal to A (high), Stable Trend
• Morningstar DBRS confirmed Switzerland at AAA, Stable Trend

• RES 4: 93.09 High Dec 20 
• RES 3: 92.75 50.0% retracement of the Dec 3 - Jan 13 bear leg     
• RES 2: 92.27 High Jan 6 
• RES 1: 91.96 High Jan 17               
• PRICE: 91.67 @ Close Jan 17
• SUP 1: 90.68 Low Jan 16                               
• SUP 2: 89.68/88.96 Low Jan 15 / 13 and the bear trigger 
• SUP 3: 88.87 2.764 proj of the Dec 20 -27 - Jan 2 price swing
• SUP 4: 88.53 3.000 proj of the Dec 20 -27 - Jan 2 price swing

The trend condition in Gilt futures is unchanged, the direction remains down. However, strong gains last week highlight the start of a corrective phase and if correct, signals scope for a continuation higher near-term. Attention is resistance at the 20-day EMA, at 91.55. This average has been breached, a clear break would suggest scope for a stronger retracement. On the downside, the bear trigger has been defined at 88.96, the Jan 13 low.

• MNI: GERMANY DEC PRODUCER PRICES +0.8% Y/Y