PWLB briefing
End of Day Wrap-Up
UK gilt yields fell across the curve today, leading to a parallel decline in PWLB new loan rates.
GILT MOVE SUMMARY
- → 2y: 4.10% (-5bp) — declines led by the short end.
- → 10y: 4.77% (-6bp) — belly followed the move lower.
- → 20y: 5.38% (-7bp) — long-dated yields fell in line with the curve.
- → 50y: 5.00% (-7bp) — back end matched the long-end rally.
PWLB CLOSE SNAPSHOT
| Tenor | Rate | Change |
|---|---|---|
| 1y | 4.89% | -3bp |
| 5y | 5.25% | -4bp |
| 10y | 5.77% | -3bp |
| 25y | 6.38% | -3bp |
| 50y | 6.19% | -3bp |
WHAT DROVE TODAY
- → No major UK economic data releases today; only Rightmove house prices (MM: 0.8%, prev 0.0%; YY: -0.2%, prev 0.0%)—not market-moving for gilts.
- → News flow highlighted a retreat in oil prices as shipping through the Strait of Hormuz partially resumed, easing inflation concerns and supporting a global bond rally.
- → No evidence of domestic policy or central bank commentary directly impacting UK rates today.
WHAT THIS MEANS
- → PWLB new loan rates declined by (-3bp) to (-4bp) across the curve, reducing borrowing costs modestly.
- → The move was broad-based, with no significant steepening or flattening.
- → Borrowing conditions eased slightly for all standard maturities.
NEXT ON THE DIARY
- → Thursday 07:00 — GBP ILO Unemployment Rate (HIGH): Forecast 5.3% (prev 5.2%)
- → Thursday 07:00 — GBP Employment Change (MEDIUM): Forecast -4K (prev 52K)
- → Thursday 07:00 — GBP Avg Earnings (Ex-Bonus) (MEDIUM): Forecast 4.0% (prev 4.2%)
PWLB rates finished the day lower, reflecting a global rally in government bonds as oil prices eased and inflation concerns moderated.
This commentary is for information only and does not constitute financial advice. Always verify rates directly with PWLB or official sources before making borrowing decisions.