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

SONIA
SONIA: The front end of the Sonia curve is modestly steeper in early Tuesday
morning trade compared to Monday's close as the Telegraph reports that UK and EU
are getting close to agreeing a Brexit transition deal. Little data released
from the UK or the Eurozone, however Chancellor Philip Hammond delivers Spring
Budget and updated borrowing forecasts from the OBR from 1230GMT. Attention will
then turn to key US February inflation data at 1330GMT. MNI PINCH calculate 81%
chance of a hike in May-18 and a 61% chance of a second rate hike in November.
Current levels in short end Sonia:-
* 6-mth +0.3bp at 0.626%
* 9-mth +0.4bp at 0.686%
* 12-mth +0.7bp at 0.742%
* 15-mth +0.8bp at 0.791%
* 18-mth +0.9bp at 0.835%
* 21-mth +1bp at 0.876%
* 2-yr +1bp at 0.914%
* 3-yr +1.1bp at 1.034%

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