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Gilts opened marginally higher, but....>

GILT SUMMARY
GILT SUMMARY: Gilts opened marginally higher, but gave back its gains and is
trading little changed awaiting UK Labour data. The yield on the 10Y Gilt is
currently trading 0.2bp higher.
- The markets are still digesting comments made by BOE Governor Mark Carney in
front of the Treasury Select Committee that inflation will peak in a couple of
months. The FT has picked up on comments from Brexit Secretary David Davis that
the EU is "deliberately stalling talks in order to squeeze more money from the
UK." While the Telegraph quotes London Stock Exchange saying that firms will
relocate if a transition deal is not agreed upon by the end of the year.
- The key focus for markets today will be the UK Unemployment data and Average
Weekly Earnings data released at 0930BST. MNI survey of analysts expectations
forecasts unemployment rate at 4.3% with Average Weekly Earnings ex-bonus
ticking lower to 2.0% from 2.1%.

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