MNI BRIEF: China Hopes EU To Ease Frictions Via Negotiations

MNI: PBOC Net Injects CNY8 Bln Via OMO Fri; Rates Unchanged

MNI: PBOC Sets Yuan Parity Higher At 7.1196 Fri; -1.41% Y/Y

Non-EU Exports May Drop Questions April Incline

MNI: UK JUN FLASH MANUFACTURING PMI 51.4 (FCST 51.1); MAY 51.2

Services PMI disappoints but little market reaction overall

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

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

MNI: Growth Drag From Net Zero Carbon Goal Can Be Offset-OECD

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

A Little Firmer Despite GDP Print

GILTS
Bank Of England (BOE) Market NewsHomepageBond Market NewsBulletMarketsFixed Income Bullets

Gilts look through the UK GDP data and follow global peers higher early today.

  • We did suggest that the data shouldn’t be a gamechanger for the BoE.
  • That leaves futures +17 at 98.02 (97.93-98.15 range).
  • Initial resistance comes in at the Apr 12 high (98.23). A break there would deepen the threat to the overarching bearish setup, with the recovery from the April lows already relatively pronounced.
  • Cash gilt yields are 0.5-2.0bp lower across the curve, with light bull flattening seen.
  • SONIA futures recover alongside the bid in gilts, to last trade little changed to +2.0 through the blues.
  • BoE-dated OIS doesn’t deviate too much from pre-gilt open levels, with a little under 60bp of ’24 cuts still priced.
  • BoE chief economist Pill will speak again today (12:15 London), with comments from dovish MPC dissenter Dhingra also due (12:45 London).
140 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.

Gilts look through the UK GDP data and follow global peers higher early today.

  • We did suggest that the data shouldn’t be a gamechanger for the BoE.
  • That leaves futures +17 at 98.02 (97.93-98.15 range).
  • Initial resistance comes in at the Apr 12 high (98.23). A break there would deepen the threat to the overarching bearish setup, with the recovery from the April lows already relatively pronounced.
  • Cash gilt yields are 0.5-2.0bp lower across the curve, with light bull flattening seen.
  • SONIA futures recover alongside the bid in gilts, to last trade little changed to +2.0 through the blues.
  • BoE-dated OIS doesn’t deviate too much from pre-gilt open levels, with a little under 60bp of ’24 cuts still priced.
  • BoE chief economist Pill will speak again today (12:15 London), with comments from dovish MPC dissenter Dhingra also due (12:45 London).