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Gilts are lower alongside U.S..........>

GILT SUMMARY
GILT SUMMARY: Gilts are lower alongside U.S. Tsy-led weakness in global bonds,
with mixed news on Brexit out of Brussels weighed and retail sales data ahead.
- The Dec 18 Gilt future is down 22 ticks at 120.85, having traded in a range of
120.73-120.9 today.
- As seen in other global bond markets, the Gilt curve is bear steepening, with
the 2-Yr yield up 0.7bps at 0.81%, 5-Yr up 1.1bps at 1.155%, 10-Yr up 1.6bps at
1.591%, and 30-Yr up 1bps at 1.971%.
- The news out of Brussels is decidedly mixed, with the mooted November Brexit
EU summit said to be on hold given a lack of progress, contrasting with PM May
saying she was considering an extension of the post-Brexit transition period.
- Sterling weaker alongside Gilts, GBPUSD down 0.1% at 1.3103.
- Short Sterling futures 1.0-2.0 ticks weaker across the strip.
- The third of four ONS releases this week sees September retail sales published
at 0930BST. After growing by 0.3% m/m in August, analysts anticipate a calming
in retail sales to -0.4% m/m. This would still not be enough to stop retail
sales posting positive sales growth for Q3.

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