Free Trial

- There is growing speculation that....>

GILT SUMMARY
GILT SUMMARY: - There is growing speculation that the EU may be prepared to
offer UK Prime Minister Theresa May a lifeline by handing chief EU Brexit
negotiator Michel Barnier new instructions in a bid to secure a deal. 
- UK data for July broadly came in stronger than expected this morning. Monthly
GDP 0.6% 3M/3M vs 0.5% survey, Index of Services 0.6% 3M/3M vs 0.5%, Visible
Trade Balance Stg.-9973 vs Stg.-11740, Industrial Production 0.9% Y/Y vs 1.1%.
- Gilts have pared losses from early morning trading. Yields are trading in the
middle of the session's range and the curve has steepened since the open.
- The benchmark 2-year gilt trades at 0.744% from a high of 0.773% while the
10-year yield has pushed down to 1.468% from 1.485%.
- The 2s10s spread has widened to 70.6bps from a low of 69.2bps while the 2s30s
has traded up to 106.5bps from 104.6bps.
- Market-based measures of inflation expectations continue to push lower. The
5-year breakeven has ticked down to 3.029% from 3.035% and the 10-year is down
to 3.047% from 3.054%.
- Short sterling futures are flat to 1.0 ticks lower. 

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.