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Bonds Gap Lower After BoE 25Bp Rate Hike

US TSY FUTURES

Tsys extend overnight lows in sympathy with Gilts after Bank of England raises bank rate by 25bp to .50%. Small rebound from dip buyers but weaker levels holding, 30YY climbs to 2.1281% high (+.0198); 10YY 1.7948% high (+.0197). Yield curves mildly steeper with bonds leading move:

  • 3M10Y +2.153, 159.376 (L: 154.071 / H: 159.376)
  • 2Y10Y +1.115, 63.074 (L: 61.575 / H: 63.93)
  • 2Y30Y +0.873, 96.148 (L: 94.901 / H: 97.697)
  • 5Y30Y +0.263, 50.136 (L: 49.96 / H: 51.565)

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