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PIPELINE

Citigroup, Bank of NY Mellon Join List of Issuers

BOE APF PURCHASES

GBP1.147bln of medium-dated gilts with offer-to-cover of 2.24x

EGB SYNDICATION

Green BTP: Priced

EQUITY TECHS

E-MINI S&P (Z1): Key Resistance Exposed

CORN TECHS

(Z1) Looking For A Break Lower

The UK Debt Management.........>

GILT AUCTION PREVIEW
GILT AUCTION PREVIEW: The UK Debt Management Office will sell Stg2.5bln of
1.625% Oct-28 gilt Wednesday.
- BACKGROUND: This is a re-open of the 1.625% Oct-28, with Stg11.05bln
outstanding. 
- RV/HISTORY: Gilts have been under pressure in recent weeks on the back of a
perceived increase in the 'no deal Brexit' risk. The benchmark 10-year gilt
trades at 1.334% up from a July low of 1.185%. The curve has steepened as a
result of the long-end underperforming with the 2s10s spread widening to 59.1bps
from a July low of 45.5bps, while the 2s30s has pushed up to 102.4bps from
92.8bps. Credit risk has increased with the benchmark 5-year CDS spread
increasing to 24.0bps from a YTD low of 14.7bps in February. Market based
measures of inflation compensation have been broadly stable with the 5-year
breakeven trading within a 2.95-3.00 band through July. The 1.625% Oct-28 gilt
trades at 1.477%, 12.4bps inside the comparable Stg swap. 
- TIMING: Results are due shortly after the auction closes at 0930GMT.