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UK STIRs Move Further Away From Recent Dovish Extremes

STIR

The data inspired run of weakness in wider core global FI markets (covered throughout the day) has resulted in a relatively meaningful swing in UK STIR pricing, with the space moving further away from recent dovish extremes.

  • SONIA futures now sit +0.5 to -11.5 through the blues, with a twist steepening bias on the strip.
  • BoE-dated OIS now sits little changed to ~14bp firmer through ’24 MPC meetings, with 131bp of cuts showing through the year (22-23bp off late ‘23 dovish extremes).
BoE MeetingSONIA BoE-Dated OIS (%)Difference Vs. Current Effective SONIA Rate (bp)
Feb-245.199+1.3
Mar-245.134-5.2
May-244.985-20.2
Jun-244.783-40.3
Aug-244.525-66.2
Sep-244.273-91.3
Nov-244.032-115.4
Dec-243.874-131.2
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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