PWLB briefing
Morning Rate Update
PWLB rates reset modestly lower this morning, with moves of 2–4bp down across the curve as UK government borrowing costs ease.
NOTICE SUMMARY — PWLB AM rates reset 2–4bp lower across all key maturities, tracking a drop in gilt yields as political uncertainty recedes.
PWLB rates dip as markets welcome quieter UK political waters
PWLB SNAPSHOT
| Tenor | Rate | Chg |
|---|---|---|
| 1y | 5.28% | -4bp |
| 3y | 5.47% | -3bp |
| 5y | 5.62% | -3bp |
| 10y | 6.09% | -3bp |
| 25y | 6.68% | -3bp |
| 50y | 6.48% | -3bp |
Parallel shift lower across the curve, with all key maturities down 2–4bp.
WHAT MOVED
- → Front-end and long-end — 1y led with a -4bp move; 25y and 50y both down 3bp.
- → Curve shape — Moves are consistent across maturities, indicating a broad-based easing rather than a specific curve twist.
CONTEXT
- → UK political calm — News flow highlights relief in gilt markets as PM Starmer fends off a leadership challenge, with UK government bond yields dropping in early trading.
- → No economic data released yet — No UK data out so far this morning to influence rates.
- → Global backdrop — Geopolitical headlines (Trump-Xi summit, Iran conflict) remain in focus but have not triggered sharp moves in UK rates at this reset.
CALENDAR EVENTS
TODAY'S RELEASES
No data released so far today.
REMAINING TODAY
- → 13:30 USD PPI MoM (HIGH): Forecast 0.50% (Previous: 0.50%)
- → 15:00 GBP BoE L Mann Speech (LOW)
NEXT 48 HOURS
- → Thu 14 May 07:00: GBP GDP Growth Rate YoY Prel — Forecast: 0.80%
- → Thu 14 May 07:00: GBP GDP MoM — Forecast: -0.20%
- → Thu 14 May 07:00: GBP GDP Growth Rate QoQ Prel — Forecast: 0.60%
⚑ Treasurer's Note — PWLB rates have reset 2–4bp lower across all key maturities this morning, reflecting a modest drop in gilt yields as UK political tensions ease. If you are considering new borrowing, this window offers slightly improved levels versus yesterday's close. The next reset will depend on how markets digest upcoming US inflation data and tomorrow's UK GDP release.
This commentary is provided for information only and is not financial advice. Please verify rates directly with PWLB or official sources before acting.
Gilt Edge Advisor — cutting through the noise since the yield curve had two humps and a prayer.