UK 10-Year Gilt Yields Rise to 4.81% as Oil Tops $80 and Burnham Wins
Updated
Updated · Bloomberg · Jun 19
UK 10-Year Gilt Yields Rise to 4.81% as Oil Tops $80 and Burnham Wins
2 articles · Updated · Bloomberg · Jun 19
Summary
UK 10-year gilt yields climbed 5 basis points to 4.81% on Friday, with British bonds underperforming European peers as investors demanded more compensation for holding UK debt.
Brent crude moved back above $80 a barrel after the US and Iran postponed talks on a permanent peace deal, reviving inflation worries that pressured global bond markets.
Andy Burnham's special-election victory added a domestic political risk premium, deepening concern that UK fiscal policy could become harder to predict.
The selloff leaves gilts caught between imported inflation from energy prices and fresh political uncertainty, a mix that can keep borrowing costs elevated.