Short End Futures Rise Post-BOK

3-Year futures rose after the BoK kept rates on hold as expected, there was an outside chance of a 25bps hike after the Bank embarked on a hiking cycle in August. The BoK said the economic recovery was on solid ground, and acknowledged that inflation would run above the 2% target for a while but leaving itself some flexibility for action at the November meeting and further down the line saying that saying that further adjustments depends on virus, growth and inflation. The Central Bank maintained an accommodative bias, stating it will conduct monpol to sustain the recovery. 10-Year future came off session lows following the announcement but is still in negative territory, last down 6 ticks, 3-Year future up 6 ticks. In the cash space yields slightly lower, 10-Year seeing the biggest move down 0.8bps at 2.379%.