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- UK Gilts have rallied this morning...>

GILT SUMMARY
GILT SUMMARY: - UK Gilts have rallied this morning and the curve has steepened. 
- The benchmark 2-year gilt trades at 0.817% down from a morning high of 0.831%,
while the 10-year trades at 1.607% from 1.631%.
- The 2s10s spread has narrowed to 78.3bps from 79.8bps and the 2s30s has traded
down to 113.6bps from 114.8bps.
- The the 10-year bond spread between the UK and Germany has narrowed to
107.0bps from 109.9bps.
- The short sterling futures strip is broadly 1.0-3.0 ticks higher.
- On the option flow side, activity in short sterling has been relatively light
this morning.
- The recent surge in inflation breakevens appears to have peaked, with the
5-year currently trading at 3.206%.
- The CBI Retailing Reported Sales for September came in slightly higher than
expected at 23 vs 19 survey.

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