Gilts are having their worst day.......>

GILT SUMMARY: Gilts are having their worst day since early January Wednesday, as

a no-deal Brexit appears to be an increasingly remote near-term prospect.

- Jun 19 Gilt futures down 84 ticks at 126.05, 2 ticks above day's lows. Belly

of curve weakest: 5-Yr is up 7.8bps at 1.018%, 10-Yr is up 7.6bps at 1.282%.

- Voting on amendments on the government`s negotiating strategy on the

Withdrawal deal begin around 1900GMT.

- Cabinet's Lidington said Gov't will accept amendment on EU citizens' rights in

event of No Deal; also that Gov't accepts notion that Commons would have a veto

on the length of an Article 50 Extension.

- Daily Mail reported Gov't will support amendment to set in stone May's promise

to hold vote to extend Art 50 in case of no passage of her deal/MPs' rejection

of 'no deal'.

- Labour`s Brexit proposal (very) likely to fail, however; SNP`s amendment to

rule out no-deal `under all circumstances` also tough to see passing.

- Key development that MP Rees-Mogg has apparently dropped opposition to the

Irish backstop, opening up Brexiteer votes for May's deal.