Fixed Income: Gilt Dips After BoE Minutes But Soon Recovers
Gilt Action: Gilt futures briefly dipped on the BoE Minutes as it was revealed that Besley had yet again voted for a 25 bp rate hike. But as the minutes showed the committee thought upside risk to inflation to have eased over the past month, Gilts quickly recovered and have since moved higher. The September 10-year Gilt future has pared earlier losses and is down just 1 tick on the session at 109.08, versus 109.04 prior to the release. The 2-year cash yiled is up 1 bp to 4.56%.