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SONIA Futures A Touch Softer With Bonds Off Yesterday’s Highs

STIR

SONIA futures are flat to -2.0 through the blues, with core global FI markets a little shy of yesterday’s best levels.

  • BoE-dated OIS is little changed to 2.5bp firmer on the day, with ~148bp of cuts showing through ’24 and the first 25bp cut remaining more than fully discounted through the end of the May ’24 MPC gathering.
  • Local headline flow has centred on fiscal loosening and speculation re: the general election date after we discovered that the Budget will be released on 6 March ’24.
BoE MeetingSONIA BoE-Dated OIS (%)Difference Vs. Current Effective SONIA Rate (bp)
Feb-245.195+0.8
Mar-245.107-7.9
May-244.892-29.5
Jun-244.644-54.3
Aug-244.361-82.5
Sep-244.118-106.9
Nov-243.878-130.9
Dec-243.707-148.0
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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