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Gilt Week Ahead: BOE Week

  • It's a big week for UK markets with the Bank of England MPC due to meet. Markets are more than fully pricing a 15bp hike on Thursday to 0.25% (with some market participants looking for a larger hike).
  • Economists are generally more cautious with none of the previews that we have read so far looking for a hike larger than 15bp, and indeed in general sell-side analysts are split between whether the first hike will be this week or in December (the vast majority expect one hike in 2021).
  • This week will see the biggest week of gilt supply at least until the next fiscal year. GBP7-9bln of gilts are due to be sold through three auctions.
  • See the full document for gilt auction previews for the week ahead, QE tracker and BOE purchase analysis, cash flow matrix and issuance calendar.
For the full document see:

GiltWeekAhead01112021.pdf




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