By Laura Contemori – ROME (Econostream) – The UK Debt Management Office (DMO) allotted £4.0 billion of 4⅛% Treasury Gilt 2031 at an auction on Tuesday.

Total bids received amounted to £13.435 billion, resulting in a bid-to-cover ratio of 3.36.

The gilt was allotted at an average accepted price of £97.747, corresponding to an average yield of 4.651%. The highest accepted price was £97.760, equivalent to a yield of 4.648%, while the lowest accepted price was £97.740, corresponding to a yield of 4.653%.

The auction tail was 0.2bp. Competitive bids accounted for £3.400 billion of the allotment, while £600 million was allotted to non-competitive bids from gilt-edged market makers.

“An additional amount of the Stock totalling up to £1,000.000 million will be made available to successful bidders for purchase at the non-competitive allotment price, in accordance with the terms of the Information Memorandum,” the DMO said in a statement.