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Very strong 30y gilt auction

GILT AUCTION RESULTS
  • That was a very strong gilt auction with the lowest accepted price of 94.195 higher than the market mid-price of the 45 minutes ahead of the auction cutoff time - and considerably higher than the 94.026 seen just ahead of 10:00BST.
  • The bid-to-cover and tail were a little smaller and wider respectively than the March auction, but the size of the auction was larger this time, and the price acheived more than outweighs this.
  • The 3.75% Oct-53 gilt has rallied on the auction result with gilt futures also moving more than 10 ticks higher in response to hit their highest levels in 90 minutes.

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