PWLB briefing
Afternoon Rate Update
⚠ RATE ALERT — PWLB fixed rates rose sharply across the curve at the PM reset, with moves of +5 to +7bp, driven by a surge in gilt yields following renewed Middle East tensions and higher oil prices.
PWLB PM rates reset higher, with 10y up +5bp to 5.98% and similar moves across all key maturities as UK borrowing costs jumped on geopolitical headlines.
PWLB PM SNAPSHOT
- → 1y: 5.08% (+6bp)
- → 3y: 5.30% (+7bp)
- → 5y: 5.48% (+6bp)
- → 10y: 5.98% (+5bp)
- → 25y: 6.61% (+5bp)
- → 50y: 6.43% (+6bp)
WHAT'S NEW SINCE THIS MORNING
- → Rates up 5–7bp across the curve — Front end, belly, and long end all moved higher, with the largest jump at the 2–3y point (+7bp).
- → 10y benchmark — Up +5bp to 5.98%, matching the scale of moves seen further out.
CONTEXT
- → Geopolitical escalation — UK borrowing costs surged and oil prices jumped after US strikes on Iran and the collapse of the ceasefire, as widely reported in the financial press.
- → Gilt auction results — Today's 2028 gilt tender cleared at 3.99% (down from 4.22%), while the 2030 tender came at 4.36% (up from 4.28%), reflecting volatility along the curve.
- → No single domestic data shock — Moves are headline-driven; no major UK macro releases today.
LOOK AHEAD
- → 19:00 — USD FOMC Minutes — High-impact, may influence global rates if tone surprises.
- → Tomorrow 00:01 — GBP RICS House Price Balance — Medium impact, forecast -32% (prev -34%).
A volatile session with rates sharply higher; keep an eye on further geopolitical headlines and tonight’s FOMC minutes for any aftershocks.
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 — Even the curve needs a strong cup of tea after this kind of day.