The 10Y Gilt future rallied early......>

GILT SUMMARY: The 10Y Gilt future rallied early afternoon in London trading, but

then levelled off and traded sideways hovering near the intra-day highs. Market

sources attribute the gilt rally to be on the back of a rally in the treasuries

largely on technical buying. The next visible area of resistance for the 10Y

gilt future is at 124.75/83. This is the Oct 19-20 overnight gap.

- 2-yr Gilt yield is -0.2bp at 0.438%, 5-yr -0.6bp at 0.764%, 10-yr -1.4bp at

1.312% and 30-yr -1.7bp at 1.886% according to data from Tradeweb.

- British PM Theresa May is currently briefing MPs this afternoon on the details

about the EU summit last week focusing on Brexit. 

- Earlier markets ignored data on CBI Trends Total Orders, which came out

considerably weaker than expected. The actual number came in at -2 as opposed to

a forecast -1.1. 

- UK breakevens are currently trading almost unchanged and swap spreads are

mixed with the 2Y currently trading 3.0bp wider while the 15Y is 1.3bp tighter.