Gilts have struggled for direction.....>

GILT SUMMARY: Gilts have struggled for direction so far Friday, with little UK

news or data.   

- Focus remains on the G20 summit where PM May has a bilateral meeting with

Saudi crown prince at 2000GMT. 

- The Mar-19 Gilt future is down 7 ticks at 122.62, having traded in a range of

122.51-122.69 today. 

- The cash curve has steepened with long end underperforming and the belly

out-performing, the 10-year the day`s best performer thus far. 

- 2-year yield is down 1.5bps at 0.748%, 5-year yield down 2.0bps at 0.925%, and

10-year yield down 2.2bps at 1.345%.

- This has lead to a slight flattening in the 2s10s spread to 57bps, down

0.7bps. 

- Short Sterling is down 1 to 2 ticks across the reds and greens, with a tick up

for the whites.