BoE-Terminal Pricing Nudges Back To Near 6.20%

As noted elsewhere, the bounce in the UK short-end has been impressive given the lack of local news flow, with a notable reaction to the softer than expected Italian CPI print (attributable to the scale of the hawkish repricing that we have seen recently, the recent thinning of the market and any receiver side flows being expressed after the fact re: dovish developments, given the lack of long-term warehousing appetite). That leaves terminal rate pricing showing just above 6.20%, after it flirted with 6.30% earlier, while ~45bp of tightening remains priced for the Bank’s August gathering. The previously flagged panel appearance from BoE Governor Bailey headlines this afternoon's domestic docket.