PWLB briefing
End of Day Wrap-Up
UK gilt yields rose across the curve today, resulting in a uniform increase in PWLB maturity rates.
GILT MOVE SUMMARY
- → 2y: 4.318% (+5bp) — front-end led, with short gilts underperforming.
- → 10y: 4.985% (+7bp) — belly saw the largest move, matching the 5y.
- → 20y: 5.634% (+6bp) — long-dated yields also rose, but slightly less than the belly.
- → 50y: 5.290% (+6bp) — long end moved in line with other long maturities.
PWLB CLOSE SNAPSHOT
| Tenor | Rate | Change |
|---|---|---|
| 1y | 5.14% | +2bp |
| 5y | 5.51% | +2bp |
| 10y | 5.99% | +2bp |
| 25y | 6.62% | +2bp |
| 50y | 6.41% | +1bp |
WHAT DROVE TODAY
There were no UK economic data releases today and no major domestic events on the calendar. News flow was dominated by international themes, including persistent uncertainty in the Middle East and rising oil prices, but there was no direct UK-specific catalyst evident for the move in gilts. The upward shift in yields appears to reflect broader global market sentiment rather than a response to local data or policy developments.
WHAT THIS MEANS
- → PWLB maturity rates increased by +1bp to +2bp across the curve, raising borrowing costs for local authorities.
- → The move was consistent across short, medium, and long maturities, with the largest absolute increases seen in the 5y and 10y sectors.
- → No UK-specific data or policy events contributed to today's repricing.
NEXT ON THE DIARY
- → Tue 00:01: GBP BRC Retail Sales Monitor YoY (Forecast: 1.50%, Previous: 1.70%)
PWLB rates closed higher in line with the gilt market, with no domestic data releases to anchor the move.
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.