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BoE Pricing Shows 65bp Of '24 Cuts, Wage Data Eyed Next Week

STIR

BoE-dated OIS stabilises, pricing ~65bp of ’24 cuts.

  • Macro headline flow has driven price action today, with UK news limited.
  • Labour market data will headline domestically next week.
  • Wage data will provide the focal point with worry re: sticky inflation still evident.
  • That worry has allowed a wedge in end of ’24 BoE pricing to redevelop vs. BoE & Fed equivalents (~100bp of ’24 cuts priced for both the Fed & ECB).
BoE MeetingSONIA BoE-Dated OIS (%)Difference Vs. Current Effective SONIA Rate (bp)
Mar-245.199+1.1
May-245.167-2.1
Jun-245.081-10.8
Aug-244.946-24.3
Sep-244.823-36.5
Nov-244.666-52.3
Dec-244.542-64.7
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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