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After trading largely sideways for.....>

GILT SUMMARY
GILT SUMMARY: After trading largely sideways for most of Wednesday, Gilts turned
sharply lower after 1500BST, mirroring the move in Bunds and US Tsys.
- The Dec 18 Gilt future is down 28 ticks at 121.04, dropping to that level
within a half hour of being at 121.26. Overall the future traded in a range of
121.03-121.4 today.
- This intraday move reversed all of Tuesday`s gains, and the cash curve has
bear steepened. The 2-Yr yield is up 3.1bps at 0.828%, 5-Yr is up 3bps at
1.155%, 10-Yr is up 4bps at 1.568%, and 30-Yr is up 3.6bps at 1.929%.
- The Short Sterling strip is slightly weaker, with varying contracts down by
between 1.0-3.0 ticks.
- PM May`s Conservative Party conference keynote speech at midday contained
minimal surprises, with most market moves based on EMU/US developments.
- Thin on data Thursday, with only new car registrations at 0900BST.
- Debt Management Office will tap the 1.0% Apr-24 Gilt for Stg. 3.0bln on Thurs.

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