By Laura Contemori – ROME (Econostream) – The UK Debt Management Office (DMO) on Tuesday allotted £1.25 billion of 0⅛% Index-Linked Treasury Gilt 2031.
Total bids received amounted to £4.691 billion, resulting in a bid-to-cover ratio of 3.75.
The gilt was allotted at a striking real clean price of £97.303, corresponding to a real yield of 0.651%. The inflation-adjusted clean price was £135.931318, calculated using an index ratio of 1.39699.
The DMO allotted £1.062499 billion to bids, £187.5 million to non-competitive bids from Gilt-edged Market Makers and £0.001 million to other non-competitive bids.
Competitive bids submitted above the striking price were allotted in full, while bids at the striking price were allotted 41.6666% of the amount bid. Bids below the striking price were rejected.
An additional amount of up to £312.5 million will be available to successful bidders for purchase at the non-competitive allotment price.
