Free Trial
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
BONDS
Yesterday saw the UK/German 2-Year yield spread register its tightest close since May ’23, just below 122bp.
- The May 16 ’23 closing level (~115bp) presents the next point of downside interest.
- Comments from BoE’s Pill and Mann are due tomorrow.
- Chief economist Pill is typically hawkish, but the tone of the minutes accompanying the most recent BoE decision increases the possibility of a dovish tilt tomorrow.
- It is worth bearing in mind that a more aggressive round of BoE rate cuts is already priced through June ’25, when compared to the ECB equivalent; ~90bp for the BoE vs. ~80bp for the ECB, discounting the already delivered 25bp ECB cut.
Fig. 1: UK/German 2-Year Yield Spread
Source: MNI - Market News/Bloomberg
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
We are facing technical issues, please contact our team.
ok
Your request was sent sucessfully! Our team will contact you soon.
ok