⚖️🔺Dollar Interest Rate Spreads Rise On The Week: Cable FX Macro

**As seen in Macro Walk report 10/28/22, subscribe at cablefxm.co.uk/reports

• The USD interest rate differentials favouring the dollar increased for a third-consecutive week, the move developed as yields declined across the board

• Looking at the BBDXY weighted differentials, USD interest rate spreads now tick at a fresh YTD high, these levels haven't been seen since early 2019

• The largest moves were recorded in U.K. Gilts and Italian BTPs, the former saw a drop of 57 basis points on the 10-yr space, the same magnitude was seen in the Italian equivalent. Heading into the BoE, the front-end of the Gilt curve saw a decent repricing as the 2-yr yield fell by 47bps