· UK PM Theresa May announced yesterday evening that the UK government will be callin

Today’s trade recap by our trading desk:-
·         UK PM Theresa May announced yesterday evening that the UK government will be calling for a snap elections on 8th June this year. She’s in the view that this election will further strengthen her position as PM and progress for a softer Brexit. GBPUSD rallied to 1.2860 levels in reaction to the news while yields in major markets all fell. The local market’s reaction was rather muted when opened today while some buying interest was seen in the MGS space at the belly. Yield curve ended the day within 2bps range while MYR strengthened further to trade below 4.4000 levels.
Malaysia Government Bonds Benchmark Issues MGS Closing Level (%) Change (bp) Volume (RM m) 3-yr 3.375 - 3 5-yr 3.780 -2.0                   198   7-yr 3.995 -                   22 10-yr 4.130 +1.5 13 15-yr 4.500 -2.0 89 20-yr 4.755 -0.5 14 30-yr 4.835 +3.5                   0 Source: BondStream, AmBank	Interest Rate Swap Closing Rates IRS Closing Yield (%) Change (bp) 1-yr 3.540 0.0 3-yr 3.680 0.5 5-yr 3.805 0.5 7-yr 3.905 1.0 10-yr 4.060 1.0 Source: Bloomberg, AmBank