PWLB briefing
Morning Rate Update
PWLB rates have moved modestly higher across the curve at the AM reset, with 2–3bp increases in most maturities and a small dip at the very short end.
NOTICE SUMMARY — PWLB AM rates are up 2–3bp across most maturities, with the 1-year down 1bp; moves reflect ongoing global bond market weakness amid inflation concerns.
PWLB edges higher as bond sell-off continues, short end bucks trend
PWLB Snapshot
| Tenor | Rate | Chg |
|---|---|---|
| 1y | 5.28% | -1bp |
| 3y | 5.52% | +1bp |
| 5y | 5.69% | +2bp |
| 10y | 6.18% | +3bp |
| 25y | 6.77% | +2bp |
| 50y | 6.55% | +2bp |
Mild parallel upward shift, with the 1-year slightly lower against a firmer long end.
What Moved
- → Broad upward move — 2–3bp increases from 5y out to 50y, led by the 10y (+3bp).
- → Short end diverges — 1y rate dipped by 1bp, bucking the broader trend.
Context
- → Global bond sell-off — News flow highlights a continued rout in global bonds, with yields rising on inflation fears and energy price shocks linked to the ongoing Iran conflict and closure of the Strait of Hormuz.
- → No UK data released yet — No significant UK economic data has been published so far this morning.
- → Political and inflation risk in focus — Market commentary points to heightened concern over UK political instability and persistent inflation pressures as drivers of higher yields.
Calendar Events
Today's Releases
No data released so far today.
Remaining Today
- → 09:35: BoE Greene Speech (MEDIUM)
- → 10:30: BoE L Mann Speech (MEDIUM)
Next 48 Hours
- → Tue 19 May 07:00: GBP Unemployment Rate — Forecast: 4.90%
- → Wed 20 May 07:00: GBP Inflation Rate YoY — Forecast: 3.0%
- → Wed 20 May 19:00: USD FOMC Minutes
⚑ Treasurer's Note — PWLB rates have nudged higher by 2–3bp across most maturities at the AM reset, with the exception of a 1bp dip at the 1-year. This reflects ongoing global bond market weakness and persistent inflation concerns, not any domestic data release. If you are watching for the next reset, keep an eye on UK labour and inflation data due over the next two days, as well as any further escalation in global bond yields.
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 — still here after every “temporary” inflation shock since 2008.