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

SONIA: The front end of the Sonia curve is modestly steeper in early Thursday

morning trade compared to Wednesday's close as markets look ahead to likely

first BoE rate hike in over 10-years. With markets pricing in a 90% chance of a

hike, attention is on the majority of the vote and the wording of any forward

guidance to give likelihood of if or when the next rate hike will come.

Currently markets price a 80% chance of a 2nd rate hike in May 2018. Before the

rate decision, UK construction PMI is released at 0930GMT with consensus looking

for a improvement to 48.5. MNI see following levels in BoE forward dated Sonia:-

* Nov-17 -0.2bp at 0.44%

* Dec-17 unch at 0.456%

* Feb-18 unch at 0.556%

* Mar-18 +0.2bp at 0.569%

* May-18 +0.4bp at 0.663%

* Jun-18 +0.6bp at 0.678%

* Aug-18 +0.8bp at 0.745%

* Sep-18 +1.1bp at 0.757%