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

SONIA
SONIA: The front end of the Sonia curve is flatter in early Friday morning
trading compared to Thursday's close as markets continue to digest step-up in
BoE hawkish rhetoric while some banks amend calls for 25bp rate hike to
November. However some are still sitting on the fence questioning if the data
will be good enough during Oct to warrant a hike. Looking ahead BoE Gertjan
Vlieghe (a known dove) gives a speech at 0850GMT. MNI PINCH now see markets
pricing a 66% chance of a 25bp rate hike in Nov 2017 and following levels in BoE
forward dated Sonia:-
- Nov-17 2.1bp higher at 0.380%
- Dec-17 1.2bp higher at 0.392%
- Feb-18 1.2bp lower at 0.4468%
- Mar-18 0.1bp lower at 0.477%
- May-18 0.5bp lower at 0.552%
- Jun-18 0.4bp lower at 0.557%
- Aug-18 0.4bp lower at 0.607%
- Sep-18 unchanged at 0.613%

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