MNI BRIEF: BOC Saw Little Need For A 50BPs Rate Cut

BOC DID NOT SERIOUSLY CONSIDER A 50BP RATE CUT- MACKLEM

BOC SAYS UNCERTAINTY MEANS CAN'T GIVE FORWARD GUIDANCE

CORRECTED-MNI BRIEF: Brazil's Inflation Rises To 5.06% In Feb

MNI China Daily Summary: Wednesday, March 12

MNI BRIEF: China To Boost Environmental Equipment Industry

US EIA: CRUDE OIL STOCKS EX SPR +1.45M TO 435.2M MAR 07 WK

BOC CUTS RATE 25BP TO 2.75%, TO BE CAUTIOUS WITH FURTHER MOVES

MNI: US Feb CPI Cools More Than Expected

GERMANY: Union/SPD Migration Alignment After Turmoil Threatened Debt Deal (BILD)

GERMANY: Official Interim Election Results Tilt Towards Missing BSW & FDP

© 1982-2025 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

STIR: GBP STIRs Move Back Towards Pricing 60bp Of Cuts through Year-End

STIR
BulletMarketsFixed Income BulletsForeign Exchange Bullets

Geopolitical matters and U.S. data have also countered much of this morning’s hawkish adjustment in GBP STIRs.

  • That leaves ~58bp of cuts priced into BoE-dated OIS through year-end vs. 60bp late yesterday and ~52.5bp at one stage this morning.
  • The strip still leans towards the next cut coming in May, with ~3bp of easing priced through March, 23bp showing through May and ~31bp priced through June.
  • This is in line with our thinking at this stage, with more data required before we can provide a meaningful opinion beyond the May meeting.
  • Looking further out, next week’s UK data calendar is headlined by the labour market (Tuesday) and inflation (Wednesday) reports.
  • Next week will also bring the release of the volatile retail sales data, which is less important for BoE policymaking.
  • Note that BoE Governor Bailey will speak on Tuesday, but the topic of the address (“preserving and enhancing open financial markets”) seemingly lessens the chances of market impact.

BoE Meeting

Keep reading...Show less
162 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

Geopolitical matters and U.S. data have also countered much of this morning’s hawkish adjustment in GBP STIRs.

  • That leaves ~58bp of cuts priced into BoE-dated OIS through year-end vs. 60bp late yesterday and ~52.5bp at one stage this morning.
  • The strip still leans towards the next cut coming in May, with ~3bp of easing priced through March, 23bp showing through May and ~31bp priced through June.
  • This is in line with our thinking at this stage, with more data required before we can provide a meaningful opinion beyond the May meeting.
  • Looking further out, next week’s UK data calendar is headlined by the labour market (Tuesday) and inflation (Wednesday) reports.
  • Next week will also bring the release of the volatile retail sales data, which is less important for BoE policymaking.
  • Note that BoE Governor Bailey will speak on Tuesday, but the topic of the address (“preserving and enhancing open financial markets”) seemingly lessens the chances of market impact.

BoE Meeting

Keep reading...Show less