Brexit Party leader Nigel Farage has...>

GILT SUMMARY: Brexit Party leader Nigel Farage has reportedly rejected a

Conservative Party deal to stand aside in 300 seats being contested in the

upcoming general election.

- This morning's retail sales data for October surprised to the downside. Retail

sales ex auto fuel came in at 2.7% Y/Y vs 3.4% Y/Y survey.

- The Dec-19 gilt future trades at 131.51, up 13 ticks from Wednesday's close

and 15 ticks off the day's low; L-H: 131.36-131.7.

- Gilts have rallied with yields up to 2bps lower on the day. Cash yields (Last

/ 1d chg / L..H): 2Y (0.5437% / -0.3bp / 0.5426%...0.5558%); 5Y (0.5159% /

-1.4bp / 0.5142%...0.5288%); 10Y (0.7415% / -1.7bp / 0.735%...0.7534%); 30Y

(1.2646% / -0.6bp / 1.2499%...1.2768%).

- The curve has bull flattened: 2s10s (19bp / -1.1bp / 18.4bp..19.9bp); 2s30s

(71.2bp / -0.1bp / 69.9bp..71.3bp).

- Short sterling futures have broadly rallied with whites outperforming: W

(broadly + 0.0/1.0 ticks higher); R (+ 0.5/1.0 ticks); G (+ 0.5/1.0 ticks); B

(trades mixed).-