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The front end of the Sonia curve is...........>

SONIA
SONIA: The front end of the Sonia curve is slightly steeper in early Wednesday
morning trading compared to Tuesday's close as markets pare back some of the
flattening move seen yesterday as risk-on sentiment fades. While overnight Aug
BRC shop prices continued to show a reduction in the pace of falling prices. UK
data comes in the form of BoE money supply and mortgage approvals for July at
0930BST, but is not expected to impact the market too much. MNI PINCH now see
markets pricing a 37% chance of a 25bp rate hike in Feb 2018 and the following
levels in BoE forward dated Sonia:-
- Sep-17 unchanged at 0.216%
- Nov-17 0.1bp lower at 0.268%
- Dec-17 unchanged at 0.270%
- Feb-18 0.2bp lower at 0.309%
- Mar-18 0.1bp lower at 0.305%
- May-18 unchanged at 0.345%
- Jun-18 unchanged at 0.347%
- Aug-18 0.3bp higher at 0.374%

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