Having given back early gains, the.....>

GILT SUMMARY: Having given back early gains, the gilt rally resumed through the

afternoon session, albeit selling off sharply over the past hour. 

- On the day, gilts trade mixed overall with shorter end yields dipping below

yesterday's closing levels and the longer-end slightly offered. Current yield

levels: 2-year -0.0255%, 5-year 0.0292%, 10-year 0.2242%, 30-year 0.6325%.

- The Sep-20 gilt future trades at 136.90, 4 ticks off the day's low.

- Short sterling futures are 0.5-1.5 ticks lower in whites, flat/1.0 ticks

higher in reds and 0.5-1.0 ticks higher in greens/blues.

- The DMO earlier sold GBP3.25bn of the new 0.125% Jan-26 gilt, GBP3.0bn of the

0.375% Oct-30 gilt. Sold an additional GBP78.75bn of the 0.125% Jan-26 gilt and

GBP750mn of the 0.375% Oct-30 gilt through the PAOF facility.

- It was a light data today with money supply and credit data for April

revealing little insight on the state of the economy.