Gilts have weakened slightly from......>

GILT SUMMARY: Gilts have weakened slightly from intraday highs but are set to

conclude a Bank Holiday-shortened week having recovered sharp mid-week losses.

- Dec8 Gilt futures are up 20 ticks at 122.28, which while off the 122.48

intraday high are just 13 ticks below last week`s close of 122.41.

- The Gilt curve is a little flatter, with 2-Yr yields down 0.2bps at 0.743%,

5-Yr down 1.1bps at 1.052%, and 10-Yr down 1.7bps at 1.438%.

- Short Sterling futures are a little stronger, with contracts from Sep19 to

Jun22 up 1-2 ticks.

- Fitch`s ratings review of Italy Friday night after US markets close could have

an impact on risk appetite going into the weekend.

- Following a week with thin data and dominated by Brexit newsflow, next week

sees a return to some normalcy with manufacturing and services PMIs and the

House of Commons returning from summer recess.

- Also of note in the week ahead is on Tuesday when BoE`s Carney, Haldane,

Saunders, and Tenreyro testify in front of the Treasury Select Committee.