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Following on from comments by DUP......>

GILT SUMMARY
GILT SUMMARY: Following on from comments by DUP Leader Arlene Foster that the UK
Prime Minister had 'given up' on Brexit negotiations, former Defence Secretary
Michael Fallon added to the storm of criticism against Theresa May when he
suggested that the Brexit deal was "doomed".
- The sell-off in gilts subsided by mid-morning, with sideways trading
throughout the afternoon session. The 2-year benchmark yield trades at 0.762% up
from a low of 0.727% and the near the highs of the day. Similarly the 10-year
yield trades at 1.386% up from a morning low of 1.364%.
- There has been little movement in the gilt curve with 2s10s trading at
61.3bps.
- The Dec gilt future trades at 123.05, pulling back from a low of 122.93
earlier in the day.
- Inflation breakevens continue to inch higher with the 5-year benchmark edging
up to 3.078% from a low of 3.063%.
- Short sterling futures are 0.5-3.0 ticks higher.   

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