Gilts are opening on the front foot...........>

GILTS: Gilts are opening on the front foot Thursday, supported by some counter

comments from a German official to the Bloomberg Brexit story released yesterday

that its stance has not changed. While continued trade concerns also seen

underpinning bid in Bonds in general. 10-yr Gilt yield is 1.2bp lower at 1.455%

according to Tradeweb, with yield curve ever so slightly flatter as short-end

lags the higher move.

- There is no data from the UK scheduled for today, so attention will be on

geo-political events; Italy budget, announcements on possible China tariffs from

the US and possible Brexit update after Dominic Raab and Michel Barnier meeting

in Brussels today.

- There are a raft of US data crossing the wires today though, so the afternoon

could be more interesting than this morning.

- Short Sterling futures are steady to 2 ticks higher, with the strip touch

flatter as green and blues contracts rally by 1 to 2 ticks, while whites are

steady to 1 tick higher.