UK yields stay within range so far

Yields in the UK money markets are keeping the composure on Friday following the results at the UK elections.

It worth mentioning that Conservatives lost the majority in the government (319 seats vs. 261 seats from Labour) but PM Theresa May intends to form a government with the support of DUP.

Yields of the 10-year reference spiked to the 1.070 area in the wake of the election results, although it quickly reverted the up move and tested sub-1.0% levels, where it seems to have found some traction.

In the shorter end of the curve, 2-year yields stayed within the recent range around 0.10% while the 5-year benchmark dropped and keep navigating levels last seen in late February around 0.50%.