Gilts have largely been moved by.......>

GILT SUMMARY: Gilts have largely been moved by external factors today with the

majority of the days move coming on the back of the announcement from USTR that

some additional tariffs on China would be delayed from September 1 to December

15.

- The moves have not been symmetrical across the curve, however, with bear

flattening seen across the short- and medium-end of the curve but 30y yields

remain lower on the day (and not just because of the sale of the 1.75% Jan-49

gilt today).

- This morning saw some labour market data, with wages in particular showing

positivity, rising to 3.9% 3m-Y/Y on the regular pay measure. This is the

highest since June 2008 but saw little market movement as vacancies weakened

further.

- Gilt futures are down -0.18 today at 134.15 with 10y yields up 1.5bp at

0.503%, 2y yields up 2.7bp at 0.463% and 30y yields down 1.6bp at 1.153%.