SONIA Illiquidity Could Explain Disconnect in BOE Peak Rate Pricing 1207 GMT - The illiqiud nature of U.K. s Sterling Overnight Index Average (SONIA) contracts could be behind the disconnect between market pricing of the Bank of England s peak rate.
Under the compliance schedule in CFTC regulation 37.12, any covered swap entered into 30 days or more after the MAT determination is deemed approved (i.e., June 26, 2023) would be required to be executed on TW SEF (or any other SEF or DCM listing such swaps).