The UK gilts slumped Tuesday on expectations of a rise in the country’s first-quarter gross domestic product (GDP), scheduled to be released on April 28.
The yield on the benchmark 10-year gilts, which moves inversely to its price, jumped 4 basis points to 1.09 percent, the super-long 30-year bond yields also climbed nearly 4 basis points to 1.71 percent while the yield on the short-term 2-year traded nearly 4 basis points higher at 0.12 percent by 10:30 GMT.
The majority of European bourses were firmer in early trade on Tuesday on investor relief that the first round of the French presidential elections yielded the most market friendly outcome. Increased appetite for risk taking continued to weigh on fixed-income safe-havens.
A larger-than-expected March trade surplus reflected stronger-than-expected exports, although a sharp rise in imports still meant that the surplus was lower than in February. As expected the UK House of Commons voted in favour of PM Theresa May’s request for an early general election. The latest opinion poll taken after the PM’s call showed the Conservatives with a 24 percent point lead over Labour.
Meanwhile, the FTSE 100 rose 0.31 percent or 21.97 points to 7,287.15 by 10:30 GMT, while at 10:00GMT, the FxWirePro's Hourly Pound Strength Index remained neutral at 23.62 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex


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