The Telegraph reports that PM..........>

GILT SUMMARY: The Telegraph reports that PM Theresa May will order a three-line

whip on an amendable action tomorrow which will require two votes on March 12 if

her negotiated deal fails in parliament. One will be on no-deal and the other on

extending Article 50.

- BoE Governor Mark Carney addressed the Treasury Select Committee this morning

and appeared to affirm recent comments from Gertjan Vlieghe which hinted at

looser monetary policy in the event of a no-deal Brexit.

- Gilts have sold off with yields 2.2-3.2bps higher on the day. Current yield

levels: 2-year 0.777%, 10-year 1.208%, 30-year 1.737%. The 2s10s spread is 1.4bp

wider, while the very long-end of the curve trades close to unch on the day.

- The Mar-19 gilt future trades at 123.88 near the bottom of the day's range.

- There has been little change in inflation breakevens. The 5-year benchmark

trades at 3.015% and the 10-year at 3.057%.

- Short sterling futures are 0.5-3.5 ticks lower with reds/greens

underperforming.