The 10Y Gilt yield opened 0.5bp........>

GILT SUMMARY: The 10Y Gilt yield opened 0.5bp higher Tuesday, with the yield

curve having shifted higher on the back of the reaction that President Donald

Trump is impressed with John Taylor making him a front-runner for the position

of Fed Chairman.

- British PM Theresa May and the President of the European Commission

Jean-Claude Juncker said that their dinner last night was "constructive" and

that talks were likely to "accelerate".

- 2-yr Gilt yield is +0.5bp at 0.457%, 5-yr +0.6bp 0.791%, 10-yr +0.5bp 1.342%

and 30-yr +0.7bp at 1.896%.

- Main focus today will be September CPI and PPI data released at 0930BST and

comments from BoE's David Ramsden, Silvana Tenreyro and Mark Carney at the

Treasury Select committee from 0915BST. MNI survey of analysts forecast

inflation to squeeze higher to 3.0% Y/Y in September from 2.9% Y/Y in August.

- This will be the first time that we will hear from David Ramsden and Silvana

Tenreyro and markets will likely try and place them either on the hawkish or

dovish side of the MPC.