Gilts have traded sideways since.......>

GILT SUMMARY: Gilts have traded sideways since rally first thing as European

equities opened lower. The best performer on the curve has been the 5-yr sector

with yield dropping to lowest level since March 16.

- 2-yr Gilt yield is -4.6bp at 0.833%, 5-yr -5.4bp at 1.127%, 10-yr -4.4bp at

1.37%, 30-yr -2.9bp at 1.712% and 50-yr -2.4bp at 1.504% according to Tradeweb.

- The BoE Agents summary found labour cost growth remaining subdued but

settlement pay rising into 2.5% to 3.5% range. While the survey also found UK

executives were deeply uncertain about how Brexit would unfold and placed a

median 40% probability on a disorderly outcome. 

- However The Times wrote this morning that "Irish officials have been told to

expect new plans 'imminently' from Britain on how it plans to avoid a

post-Brexit hard border".

- There was some evidence that the 'Beast from the East' hit consumer spending

with latest CBI data showing net volume of sales reported in March falling to -8

from +8 in February.

- Majority of swap spreads are wider led by the short-end and breakevens steady.