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Gilts have also opened on the soft side.......>

GILTS
GILTS: Gilts have also opened on the soft side slipping lower despite all the
Brexit talk over the weekend and Sterling coming under light pressure. Yield
curve has pretty much shifted higher by 0.8 basis points so far this morning
with the 10-yr Gilt yield at 1.441%.
- The weekend political news was full of latest comments on Brexit with the
standout being Michel Barnier's saying that he is "strongly opposed" to PM May's
Chequers proposals on future trade. While May herself has said she will not
compromise on her Brexit plan and has once again ruled out a second referendum.
- Key data today will be UK manufacturing PMI with consensus seeing a slight
fall to 53.9 from 54.0. No comments from any BoE MPC members expected today, but
parliament returns from summer recess today so it will probably be headline
watching for any comments from politicians. 

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