January 22, 2025 16:15 GMT
STIR: A Little Over 65bp Of BoE Cuts Priced For '25, Despite Uptick In Yields
STIR
Weakness in core global FI markets has a modest impact on GBP STIRs.
- BoE-dated OIS still showing little changed to ~3.5bp more dovish across ’25 contracts, 66bp of cuts priced through year-end.
- SONIA futures back to -1.0 to +1.0 on the day.
- Looking ahead, Friday will bring the release of the flash PMI data. Markets could prove to be increasingly sensitive to that data given downside risks to UK economic growth.
BoE Meeting |
SONIA BoE-Dated OIS (%)
Difference vs. Current Effective SONIA Rate (bp)
Feb-25
4.480
-22.0
Mar-25
4.436
-26.4
May-25
4.296
-40.4
Jun-25
4.239
-46.1
Aug-25
4.141
-55.9
Sep-25
4.112
-58.8
Nov-25
4.058
-64.2
Dec-25
4.040
-66.0
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