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Soft 10-year auction

GILT AUCTION RESULTS
  • That was a soft auction of the 4.625% Jan-34 gilt with a relatively wide 1.0bp tail and the LAP coming in at 101.910, below the pre-auction mid-price of 101.959.
  • The price of the 4.625% Jan-34 gilt fell to an intraday low of 101.871 after the results were published and we are still now trading below the LAP at 101.895 at the time of writing.
  • Gilt futures also touching intraday lows of 95.44 from around 95.55 as the auction closed. We are back to 95.48 at writing.

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