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GILTS: U.S. CPI-Driven Losses Reversed

GILTS

Weakness in equities provides further tailwinds to the recovery in bonds, with gilt futures now back above pre-U.S. CPI levels, last 101.19.

  • Yields back towards session lows, last down 2.5-6.5bp on the day, front end outperformance still seen.
  • SONIA futures also trade back towards session highs, last flat to +10.0.
  • BoE-dated OIS prices ~49bp of cuts through year-end.
  • Cross-market moves set to dictate through the close.
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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