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GILTS: Modest Rally On Spill Over From Tsys

GILTS

Spill over from dovish press commentary surrounding the Fed supported gilts at the open, with a rally in equity markets then limiting gains.

  • Futures +24 at 101.19. Technicals remain bullish, contract within yesterday’s range.
  • Initial resistance at yesterday’s high (101.51), with support at the Sep 10 high (100.64).
  • Yields ~2bp lower across curve.
  • SONIA futures off early highs, flat to +2.5. BoE-dated OIS also off early dovish extremes, last pricing ~48bp of cuts through year-end and ~133bp through June ’25.
  • The BoE/Ipsos inflation attitudes survey is due today. Don’t expect it to be a meaningful market mover intraday, but it will feed into the BoE’s assessment of wider inflationary trends.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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