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Higher Energy Prices Lend Support


Yen Stabilises After Downtick


(Z1) Edges Through Support


New Zealand Returns From Long Weekend


Westpac: Q3 CPI Is A Potential Gamechanger

GILT SUMMARY: There is some speculation that PM Boris Johnson could hold a snap
election immediately after a no-deal Brexit in a bid to secure a fresh mandate
before the full economic impact of such a scenario is felt by voters.
- There will be a slew of data released tomorrow, which will include 2Q/June
GDP, industrial production, construction output, index of services and
international trade data for June.
- The Sep-19 gilt future trades at 133.89, down 54 ticks from Wednesday's close
and 16 ticks off the day's low; L-H: 133.73-134.17.
- Gilts have sold off with yields 2-6bps higher on the day. Cash yields (Last /
1d chg / L..H): 2Y (0.4686% / +2.2bp / 0.4602%...0.4848%); 5Y (0.3676% / +3.9bp
/ 0.3554%...0.3799%); 10Y (0.5268% / +4.3bp / 0.5095%...0.5379%); 30Y (1.1857% /
+5.5bp / 1.1641%...1.1963%).
- The curve has bear steepened: 2s10s (4.6bp / 1.9bp / 3.5bp..4.8bp); 2s30s
(70.5bp / 3.2bp / 68.5bp..70.8bp).
- The short sterling futures strip has steepened: W (broadly - 0.0/0.5 ticks
lower); R (- 1.0/3.0 ticks); G (- 4.0/4.5 ticks); B (- 4.5/6.0 ticks).