Gilts: off best levels and digesting so-so DMO tap

Mixed metrics in terms of the basic numbers used to gauge an auction, with the sale more than twice oversubscribed, but the tail relatively long at 0.4 bp. Hence, the 10 year benchmark future dipped around 10-12 ticks on the results, but remains underpinned after more less than hawkish BoE comments (this time from Haldane sounding perplexed about conflicting jobs market measures and what that means for overall inflation). In general, market conditions have calmed down markedly after the flight-to-quality seen earlier, which looked capable of escalating, but it remains to be seen whether early US birds jump ship or buy the dip in stocks.    

19 Oct 2017 - 10:53- - Source: RANsquawk

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