Bonds - GBP
Headlines from a rare anti-UK French PM has left negotiators needing to throw a sprat to catch a Macron. Gilts spiked on the Brexit news. 5y IRS flow.
A barrage of USD issues from big EUR funders left as quickly as it arrived as SURE supply in EUR looms. China sold its first 144a in 24 years.
RPI swaps were confined to spread trading as dealers await news on Brexit over the next couple of days.
A listless week for gilts ended with interest in 15y and 20y ASWs, in the ISDA Fallback news today and in mortgage flows. In bonds, Green is golden.
With the big issuance guns having rolled in and out of core markets in Sep, basis swaps were stable. Sweden sent out mixed messages and HONIA arrives.
Linker traders reported quite a strong auction of the IL41 this morning against the backdrop of a drop in oil prices and volatility in RPI.
Things whirred around in GBP bonds and today, but with little effect. The FTSE and gilts were unchanged at close. Traders eye steepeners.
Friday has seen aggressive 20y IRS bids and 10s/30s flow, that came and went in a blink. Boris eyes the tunnel, SONIA-BOR is brought down by the turn.
Basis: Canny borrowers dodge spikes; SOFR basis update
The sterling curve is a touch steeper although the long end is seeing good offers. Negative rates are expected to arrive later rather than sooner.