The UK 10-year gilt yield edged up toward 4.3%
The UK 10-year gilt yield edged up toward 4.3%, driven by safe-haven demand after South Korea briefly declared martial law, sparking global market jitters before lifting it hours later. The broader fixed-income market saw gains as investors sought safety amid the geopolitical uncertainty. Meanwhile, Bank of England Governor Andrew Bailey hinted at potential rate cuts if inflation continues to ease, suggesting up to four quarter-point reductions over the next year, which could lower the key interest rate to around 3.75%. Inflation has declined faster than the BoE projected, though October saw an unexpected rise to 2.3% from 1.7% in September. Additionally, UK services sector data showed a slowdown in November, with employment falling for a second month, albeit at a reduced pace.(Cay)
Source: Trading Economi
