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Gilt Week Ahead: Welcome to 2022

  • In some ways it has felt that 2022 has not really kicked off in UK markets until recently. There have been no notable MPC speeches this year and until Friday there had been no notable UK data. Friday’s data was, of course, much stronger than expected and showed the level of GDP surpassed the pre-pandemic level in November. There was little market reaction to the release, however, for two reasons: firstly, the data is largely pre-Omicron and second GDP growth is seen as much less important than either inflation or labour market data.
  • We talk through the upcoming labour market, inflation, retail sales data as well as upcoming MPC appearances.
  • We also discuss the potential for political events to affect UK asset prices.
  • See the full document for gilt supply previews for the week ahead, QE tracker and BOE purchase analysis, cash flow matrix and issuance calendar.

GiltWeekAhead220117.pdf

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