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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 trade
compared to Thursday's close as markets trade with a mild risk-off tone
following more sabres rattling from North Korea. The main focus today is on PM
May speech in Florence. The crust of the speech is already known -- paying
E20bln for a 2-yr transition deal, how much more there will be and if it will be
enough to unlock current stalemate in Brexit talks will be open for
interpretation. MNI PINCH now see markets pricing a 77.5% chance of a 25bp rate
hike in Nov 2017 and following levels in BoE forward dated Sonia:-
* Nov-17 -0.2bp at 0.412%
* Dec-17 -0.3bp at 0.436%
* Feb-18 -0.8bp at 0.528%
* Mar-18 -1.1bp at 0.538%
* May-18 -1.4bp at 0.631%
* Jun-18 -1.3bp at 0.638%
* Aug-18 -1.5bp at 0.699%
* Sep-18 -1.9bp at 0.704%

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