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Futures Close Opening Gap Lower

GILTS

Little to really note since the move higher which seemed to be facilitated, at least in part, by the latest leg lower in crude oil futures.

  • Comments from BoE’s Broadbent weren’t market moving. He pointed to clear signs that rate rises were having an impact, along with more resilient than expected demand and suggestions that the UK inflation profile is similar to that seen elsewhere (envisaging a move back to target in ~2 years).
  • Gilt futures last show +40, with the opening gap closed.
  • Cash gilts twist steepen, sitting 3bp richer to 1bp cheaper, pivoting around intermediates.
  • SONIA futures are 0.5-5.5bp richer, while BoE dated OIS contracts sit little changed to 2.5bp softer.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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