Gilts remain slightly higher into......>

GILT SUMMARY: Gilts remain slightly higher into London close, yield curve

flattener as long-end outperforms, albeit in light illiquid trade, as markets

awaits key speeches from ECB president Draghi on Wednesday and then at Jackson

hole on Friday. With Fed Chair Yellen also due to speak at thee conference.

- 2-yr Gilt yield is -0.7bps at 0.214%, 5-yr -1.0bp at 0.484%, 10-yr -1.5bp at

1.061% and 30-yr -2.4bp at 1.721% according to Tradeweb.

- Sep Gilt future opened lower taking cue from fall in US Treasuries after

London close on Friday, but quickly pared losses as markets digested weekend

press reports of the state of Brexit negotiations. Block buy in Sep Gilts also

supported recovery in Gilts.

- The UK's Brexit team published a couple of articles outlining the UK's

negotiating approach to goods on the market and to confidentiality and access to

official documents. But this was not seen as providing any meaningful progress

on current discussions of EU citizen rights, N.Ireland boarder & Brexit bill.

- Swap spreads are mixed with 15-yr seeing the largest move at 1.8bp wider.

While 10-yr and 30-yr breakevens are nearly 1bp tighter.