XPS (XPS LN), the pensions consultant, said a small number of clients needed to meet cash calls on LDI positions this month, Reuters reports; but, the market is operating normally.

The update from XPS indicates that a handful of clients are facing cash calls on their LDI positions; however, it reassures that the market remains stable. This suggests that while there may be pockets of stress, the overall fixed income environment is functioning normally – a key consideration for those managing exposure in gilts and broader UK markets. Watch for any signs of broader implications for liquidity or potential shifts in central bank sentiment as a result of these developments.