Gilts remain weaker Friday toward......>

GILT SUMMARY: Gilts remain weaker Friday toward midday, after briefly touching

multi-month and indeed multi-year highs earlier in the session.

- Brexit headlines this morning have been largely positive and have helped

kindle market optimism that a divorce deal can be agreed by November, weighing

on Gilts.

- Dec18 Gilt futures are 32 ticks above their lows, however, now down 18 ticks

at 120, having traded in a range of 119.68-120.02 today.

- The 2-Yr yield is down 0.3bps at 0.883%, 5-Yr is up 0.7bps at 1.251%, 10-Yr is

up 1.2bps at 1.681%, and 30-Yr is up 1bps at 2.012%.

- 2-Yr yield hit highest levels since April (0.914%), 10-Yr highest since Jan

2016 (1.711%) before recovering.

- Short Sterling futures are a little off their lows, with Greens and Blues down

4-5 ticks (were down 6 ticks earlier).

- 1330BST sees U.S. nonfarm payrolls and international trade data, which is the

main focus of the day.