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What to watch (2/2)

MARKET INSIGHT
  • Bailey speech: Governor Bailey will give a speech this evening at TheCityUK Annual Dinner with the text due to be released in advance at 17:00GMT. This follows on from Chief Economist Pill's speech yesterday where he outlined the reasons he didn't vote for a 50bp hike in February. The underlying tone of Pill's speech was that more rate hikes would be appropriate but although he didn't explicitly talk the market down it's clear he doesn't see the need for what is currently priced in. Whether Bailey does explicitly address market pricing will be the key question for this speech.
  • RBA: In case you missed it, our Policy team put out a story stating that the RBA is unlikely to reinvest its QE portfolio when it begins to hike rates and that it will take a call at its May meeting on the mechanics. For the full story see here.

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