What to watch

It was a fairly benign overnight session with core fixed income continuing to drift lower and hitting new cycle highs in terms of yields.

• The main focus today will be on the UK with Chancellor Sunak due to deliver the Spring Statement (mini-budget) and the DMO due to announce the gilt remit for the 22/23 fiscal year. From reading through 12 GEMM previews, we see the median expectation of gilt sales at GBP153.5bln with estimates ranging from GBP124.5bln to GBP211.2bln. For our full preview see here. The Chancellor's speech is due to begin around 12:30GMT with the full OBR forecasts and gilt remit released shortly after his speech concludes (normally about an hour later). The DMO will then release the agenda of its FQ1 GEMM / investor consultation at 15:30GMT.
• Elsewhere we have a number of central bankers speaking. At the BIS Innovation Summit we have a panel consisting of Fed's Powell, BOE's Bailey and ECB's Nagel at midday GMT (monpol probably won't be discused) while we also have ECB's Visco and Fed's Daly and Bullard due.
• We have already had UK CPI data this morning which was higher than economists expected, but the 0.2ppt increase was largely in line with market expectations, marking the 5th consecutive upside surprise to consensus. US new home sales are the only other notable data release of the day.