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No Reaction To BoE’s Breeden, Futures Hold Shy Of Best Levels

GILTS

Gilts look through the previously covered comments from BoE’s Breeden, with the highlight being a scenario analysis on interest rates based on different trajectories for inflation.

  • Futures remain comfortably shy of the highs witnessed over the last couple of sessions, even with TY and Bund futures moving to fresh session bests.
  • The contract last shows +35 or so around 101.65, a little above the middle of its 101.38-101.86 range.
  • Cash gilts yields sit 2.5-4.0bp lower on the day, 5s outperform.
  • SONIA futures are -0.25 to +8.5 through the blues.
  • BoE-dated OIS twist flattens on the day, with ~117.5bp of cuts showing for ’24 on the whole.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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