Familiar Levels In Play On BoE Strip

BoE-dated OIS contracts are flat to 2bp firmer, with any limited drift higher aided by the direction of travel in core global FI markets.

• That leaves ~29bp of tightening showing for next month’s MPC decision, while terminal policy rate pricing hovers around 5.90%.
• While it won’t have been a major market mover, overnight we saw the latest domestic GfK consumer confidence print rebound a little, albeit to a still sub-0 -25. The survey collator noted that “against a backdrop of falling core inflation, higher interest rates and rising average weekly earnings, the Consumer Confidence Index has regained momentum this month.”
• A quick reminder that UK markets will be closed on Monday, owing to a UK bank holiday.
• It also worth remembering that BoE’s Broadbent will speak over the weekend. He will contribute to a Jackson Hole panel covering the topic of “Globalization at an Inflection Point.”