January 30, 2025 04:41 GMT
STIR: BoJ Dated OIS Softer Than Pre-BoJ Hike Levels
STIR
BoJ-dated OIS pricing is flat to 6bps softer across meetings compared to pre-MPM levels.
- Market expectations going into last Friday’s MPM indicated a 98% probability of a 25bp hike today, a cumulative 99% chance by March, and more than a full 25bp increase by May 2025 (108%).
- As it currently stands, March has a 0% chance of another 25bp hike. A 25bp increase is not fully priced until December.
Figure 1: BoJ-Dated OIS – Today Vs. Pre-BoJ MPM (January)
![image](https://media.marketnews.com/image_e02701c541.png)
Source: MNI – Market News / Bloomberg
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