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Gilts have slipped lower at the open,.........>

GILTS
GILTS: Gilts have slipped lower at the open, weighed by the move lower in German
Bunds as the threat of a breakup in the German coalition recedes for now. UK
10-yr Gilt yield is 1.4bp higher at 1.27% according to Tradeweb and is leading
the rest of the yield curve higher
- There are growing domestic political concerns though as the Times reports that
PM May's attempt at a peace offering on a customs arrangement led to infighting
within the cabinet with time running short for an agreement to be reached. It is
reported that May is due to have one-on-ones with each cabinet member to win
them over.
- On the monetary policy front, BoE Haldane was interviewed in German daily
Handelsblatt, saying can't wait too long in getting inflation back below 2%.
- UK construction PMI is released at 0930BST while another BoE hawk, Michael
Saunders is being interviewed on CNBC from 0930BST.

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