UK PM May commented Wednesday that.....>

GILT SUMMARY: UK PM May commented Wednesday that she would "bring a vote on a

revised Brexit deal back to parliament as soon as possible". 

- Gilts have continued to sell off after reports emerged from Spain last night

suggesting a Brexit accord was being 'hammered out'.

- The Mar-19 Gilt future currently trades at 123.75, which represents both the

Feb 6 high and Feb 13 low. A break below could add significant downward pressure

as talk of a Brexit deal picks up.

- The market's structural long on Gilt futures is currently at highest level in

at least a year according to MNI Pi. With just over a month to go until Brexit

and a potential meaningful vote on Feb 27, any decrease in the likelihood of

no-deal could cause Gilts to sell off. 

- Yields are up 1.4bps-1.8bps across the Gilt curve this morning with the 2s10s

0.2bps steeper.

- 2yr yield trading at 0.763%, 5yr at 0.858%, 10yr at 1.199%, 30yr at 1.721%.

- UK public sector finances data will be released later today at 0930GMT.  

- The DMO will auction the 30yr 1.75% Jul-57 Gilt today at 1030GMT.