On Jan 17 the UK DMO come to...>

GILT AUCTION PREVIEW: On Jan 17 the UK DMO come to market for Stg1.75bln,

selling the re-opened 1.0% Apr-24 Gilt. 

- HISTORY: For comparison at the last auction of the Gilt on Dec 4, 2018: 

Stg2.5bln was sold, average yield 0.97%, cover 1.86x. 

- RV/BACKGROUND: Gilts sold off through Wednesday after May's Brexit deal was

voted down by a huge margin of 230 votes. This is supported by the view that

Article 50 is now more likely to be extended and thus a no-deal scenario is less

likely. 

Some analysts believe that the market have under priced the chance of a no-deal,

in which case Gilts can be expected to retrace some of the losses over the next

week. 

The 5-yr benchmark currently trades at a yield of 0.97%.    

- TIMING: Results are due shortly after the auction closes at 1030GMT.