Gilts have recovered some of...........>

GILT SUMMARY: Gilts have recovered some of Wednesday`s sharp losses in early

trading, with BoE lending and money supply data up soon.

- Active Gilt futures contract has shifted from Sep8 to Dec8, which is up 11

ticks at 121.81.

- The curve is a little flatter, with 2- and 5-Yr Gilts anchored and 10- and

30-Yr yields down 0.5bps.

- Short Sterling futures are a little softer, with a few contracts a tick lower

(focused on Sep19-Mar20). 

- After EU Chief Negotiator Michel Barnier`s comments on a unique deal with the

UK yesterday sank Gilts by pointing to a softer Brexit, some news follow-up is

to be expected in the next few days. UK Brexit Secretary Dominic Raab scheduled

to meet in Brussels Friday.

- Discussion of a delay to the Brexit negotiations beyond October continues,

with Politico citing unidentified officials that the EU is considering a full

summit in November to discuss Brexit.

- BoE consumer lending and M4 money supply data due out at 0930BST.