It has been another uninspiring........>

GILT SUMMARY: It has been another uninspiring morning session in Gilts, with

markets seen sitting on the side-lines until risk events in the early afternoon.

June Gilt future has traded in tight 23 ticks range. Yield curve is slightly

bull flattening though as long-end outperforms on expectations of lower gilt

issuance announcement.

- 2-yr Gilt yield is -0.5bp at 0.832%, 5-yr -1.0bp at 1.164%, 10-yr -1.3bp at

1.488%, 30-yr -1.9bp at 1.908% & 50-yr -1.8bp at 1.701%, according to tradeweb.

- Chancellor Philip Hammond delivers his Spring Budget and updated OBR forecast

for borrowing and UK GDP growth from 1230GMT. Most analysts see borrowing for FY

2017/18 to come in well below OBR forecasts and for the DMO Gilt remit to show a

fall in Gilt issuance. Although further out the picture is more uncertain.

- After the Budget in the UK attention will then turn to release of US February

inflation data at 1330GMT.

- UK breakevens are little change on the today so far while swap spreads are

steady to 1.8bp wider led by the move higher in the 2-yr.