UK gilts tad higher tracking U.S. Treasuries as investors eye BoE’s monetary policy meeting eyed

The United Kingdom’s gilts traded slightly on the upside during Wednesday’s late afternoon session, tracking a similar movement in the United States Treasuries as market investors keep a close eye on U.S. 3-tier economic data, due for release later in the day, along with FOMC member Quarles’ speech.

Also, the Bank of England’s (BoE) monetary policy meeting, scheduled to be held on February 7 by 12:00GMT, shall provide further direction to the debt market.

The yield on the benchmark 10-year gilts, remained tad lower at 1.227 percent, the super-long 30-year bond yields slipped nearly 1-1/2 basis points to 1.724 percent and the yield on the short-term 2-year fell 1/2 basis point to 0.754 percent by 13:00GMT.

Ahead of tomorrow’s BoE announcements, no notable economic data are due from the UK, while Prime Minister Theresa May continues consultations on Brexit in Northern Ireland ahead of her visit tomorrow to Brussels for yet another discussion with Commission President Juncker, Daiwa Capital Markets reported.

Meanwhile, the FTSE 100 remained nearly flat at 7,171.74 by 13:05GMT, while at 13:00GMT, the FxWirePro's Hourly Pound Strength Index remained slightly bearish at -101.62 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex