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

SONIA: The front end of the Sonia curve is sharply flatter in early Tuesday

morning trade compared to Monday's close as markets trade with risk-off

sentiment following sharp falls in US and Asian equities overnight. In the UK

BRC like-for-like sales in Jan rose a steady 0.6% y/y, while 3-days of Brexit

transitional talks get underway in Brussels today, but only at a technical

level. UK and EMU data are a little thin on the ground so attention likely on

equities and the NY open. MNI PINCH calculate 53.2% chance of a hike in May

2018. Current levels in short end Sonia:-

* 6-mth -0.6bp at 0.536%

* 9-mth -0.7bp at 0.583%

* 12-mth -1.2bp at 0.631%

* 15-mth -1.5bp at 0.676%

* 18-mth -1.6bp at 0.72%

* 21-mth -1.8bp at 0.759%

* 2-yr -1.9bp at 0.8%

* 3-yr -2.2bp at 0.941%