MNI BRIEF: BOJ: Wage Hikes At Smaller Firms Spreading

MNI BRIEF: Japan June Sentiment Index, Outlook Index Both Rise

MNI BRIEF:PBOC Starts Temporary OMO Tools To Adjust Liquidity

MNI: PBOC Conducts CNY2 Bln Via OMO Mon; Liquidity Unchanged

MNI: PBOC Sets Yuan Parity Lower At 7.1286 Mon; -0.29% Y/Y

CHINA PBOC CONDUCTS CNY2 BILLION VIA 7-DAY REVERSE REPOS MON

MNI: GERMANY MAY EXPORTS -3.6% M/M; IMPORTS -6.6% M/M

GERMANY MAY TRADE BALANCE E24.9bln (E20.3bln F'CAST, E22.2bln APRIL)

RBNZ Data Watch

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

48bp OF '24 BoE Cuts Priced, Haskel Comments Due Later Today

STIR
HomepageBank Of England (BOE) Market NewsBulletMarketsFixed Income BulletsForeign Exchange Bullets

SONIA futures are little changed to +1.5 as Bunds recover from overnight lows, with the French political situation dominating thus far. BoE-dated OIS is little changed, ~15.5bp of cuts priced through August and ~48bp of easing showing through Dec.

  • The latest KPMG-REC Report on Jobs provided mixed inputs for the BoE. Elsewhere, the latest BCC survey showed that fewer firms plan to raise prices over the next 3 months.
  • On net, this lower tier data shouldn’t prevent BoE loosening over the coming months, but sticky wages in the REC survey will provide a source of caution.
  • The hawkish BoE wing starts the post-election blackout communique. Haskel is due to speak at 17:15 London. His last MPC meeting will be in August. We don’t expect him to hint at cuts at this stage (if he does that is a very dovish sign). Pill & Mann are due later in the week (Wednesday).
BoE MeetingSONIA BoE-Dated OIS (%)Difference Vs. Current Effective SONIA Rate (bp)
Aug-245.044-15.6
Sep-244.972-22.8
Nov-244.824-37.6
Dec-244.722-47.8
Feb-254.585-61.5
Mar-254.492-70.8
May-254.368-83.2
Jun-254.281-91.9

Source: MNI - Market News/Bloomberg. 2025 meeting dates are estimated.

197 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

SONIA futures are little changed to +1.5 as Bunds recover from overnight lows, with the French political situation dominating thus far. BoE-dated OIS is little changed, ~15.5bp of cuts priced through August and ~48bp of easing showing through Dec.

  • The latest KPMG-REC Report on Jobs provided mixed inputs for the BoE. Elsewhere, the latest BCC survey showed that fewer firms plan to raise prices over the next 3 months.
  • On net, this lower tier data shouldn’t prevent BoE loosening over the coming months, but sticky wages in the REC survey will provide a source of caution.
  • The hawkish BoE wing starts the post-election blackout communique. Haskel is due to speak at 17:15 London. His last MPC meeting will be in August. We don’t expect him to hint at cuts at this stage (if he does that is a very dovish sign). Pill & Mann are due later in the week (Wednesday).
BoE MeetingSONIA BoE-Dated OIS (%)Difference Vs. Current Effective SONIA Rate (bp)
Aug-245.044-15.6
Sep-244.972-22.8
Nov-244.824-37.6
Dec-244.722-47.8
Feb-254.585-61.5
Mar-254.492-70.8
May-254.368-83.2
Jun-254.281-91.9

Source: MNI - Market News/Bloomberg. 2025 meeting dates are estimated.