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Bouncing From Fedspeak-Driven Downtick

GILTS

Gilt futures pulled further away from best levels as markets digested the comments from NY Fed President Williams (covered elsewhere), before regaining some poise ahead of early session lows, then bouncing. That leaves the contract +35 or so at 100.80, closer to the top of its ~75-tick range (100.26-100.99) than the bottom.

  • Cash gilt yields are 1.5bp higher to 7bp lower, as the curve twist flattens.
  • SONIA futures run -5.5 to +2.0, with the back of the whites/front of the reds coming under the most pressure, but comfortably off worst levels as gilts regain their footing.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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