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#1: 0.125% Jan-26

GILT AUCTION PREVIEW
  • Issuance kicks off for the week this morning with GBP3.0bln of the 0.125% Jan-26.
  • This will be the seventh auction of the gilt since its launch in June as the DMO continues to build up the gilt to be the five year benchmark.
  • Total bids have exceeded GBP7.25bln at every auction, leading to respectable bid-to-cover ratios in excess of 2x. Tails have also been tight, all being 0.4bp or less with the last auction on 24 September seeing the tightest tail so far of 0.1bp.
  • We expect another successful auction today.
  • The 0.125% Jan-26 gilt is scheduled to be auctioned again on 4 November.
  • RESULTS: Results will be available shortly after the auction closes at 10:00BST with a further GBP750mln nominal available to successful bidders through the PAOF.

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