Free Trial

Gilts have opened modestly higher......>

GILT SUMMARY
GILT SUMMARY: Gilts have opened modestly higher with yields in the region of 1bp
across the board, taking cue from mild recovery in US Treasuries after London
close on Friday. While news that Carillion has filed for liquidation is also
seen pushing up domestic political risks. 10-yr gilt yield is 1.3bp lower at
1.326%.
- Markets are likely to be pushed around by political events in both London And
Berlin and any syndication announcements today due to the lack of UK and
Eurozone data to drive markets. While the US cash markets are closed due to
Martin Luther King Jr holiday day.
- The liquidation of Carillion could impact politics in the UK due to its size
and operations of having many contracts in the public sector including NHS and
schools.
- Breakevens have opened wider with the 5-yr 0.7bp tighter despite crude oil
rising to a near 3-year high, as cable trades above $1.37.
- Looking further ahead Bank of England MOPC member Silvana Tenreyro will speak
in London on the fall in productivity at 1815GMT.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.